Bitcoin’s price has risen since Square announced that it has invested heavily in Bitcoin. It has now risen above the $ 11,000 level.
The bitcoin price was revived when Twitter CEO Jack Dorsey’s company, Square, bought $ 50 million worth of Bitcoin, and the lead cryptocurrency broke the 11,000 price level the day after the purchase news. Its current price at the time of writing is $ 11,030.
Bitcoin is now up 4 percent and its sudden rise is pushing the market upwards as well. Most of the top 100 cryptocurrencies have gone green today and some have seen very good gains. Chainlink (LINK) price has increased up to 18% during the day and currently gains significant gains by hovering over $ 10, while Polkadot (DOT) also saw an increase of 13% and is at $ 4.17.
The movement in the bitcoin price started yesterday when the giant company Square called it announced that it had invested some of its assets in Bitcoin. When the news was announced, the price of Bitcoin initially increased by $ 100, getting higher during the day and heading towards $ 10,900.
In the Square Bitcoin investment technical report, “We see Bitcoin as a tool of global economic strengthening; it is a way for individuals around the world to join a global monetary system and secure their own financial futures. ” he stated.
As a result of the latest pressure, Bitcoin’s market cap has regained to $ 200 billion. It is currently at the level of 203 billion dollars.
Despite the positive news, Bitcoin’s daily transaction volumes did not show much increase. While volumes rose from $ 17 billion on October 3 to $ 22 billion yesterday – they are still tiny compared to September volumes up to $ 54 billion.
What Does Bituminous Lack of Volume Mean?
William D., known as Altcointurk Education Director, known on Twitter, touched on the issue of volume in technical analysis on his Twitter account and gave explanatory information:
“Volume analysis is a basic but very important component of technical analysis. Volume provides clues as to the intensity of a particular price action.
High volume levels are characteristic of market peaks when there is a strong consensus that prices will rise. High volume levels are also very common at the beginning of new trends.
Also, just before the grocery bottoms, volume will usually increase due to panic selling. Volume can help determine the strength of an existing trend.
A strong uptrend should have higher volume on the upward moves of the trend and lower volume on the down (corrective) moves.
Similarly, strong downtrends usually have higher volume in the downward movements of the trend and lower volume in the upward (corrective) moves.
Volume is one of our confirmation methods. It is wrong to ignore. Pay attention and care.