Bitcoin has struggled to cross $40,000 in the recent past. H...
Bitcoin has struggled to cross $40,000 in the recent past. However, for investors bullish on cryptocurrencies, Bitcoin is a must-hold in the portfolio. If altcoins are like growth stocks, Bitcoin is a blue-chip stock.
If the regulatory headwinds wane, Bitcoin is likely to trend higher with multiple catalysts. First, cryptocurrencies are positioned for wider adoption. Bitcoin, with a limited supply of 21 million, will benefit as holders increase.
Furthermore, inflation is a concern globally. Hard assets with limited supply tend to perform well in times of inflation.
In the coming years, Bitcoin is likely to be among the top inflation hedges. It's also worth noting that data from $Coinbase(COIN.US)$ indicates that institutional adoption of Bitcoin has been accelerating. This is another positive catalyst for the cryptocurrency.
As the daily chart illustrates, the price has been supported by the significant support level at $37K, which has led to a break out of the RSI's resistance trendline and now is attempting the 100-day moving average. This is a significant resistance on Bitcoin's route towards the range's top. The $45K supply zone is unavoidable if the moving average is exceeded.
Dogecoin currently trades nearly 85% lower as compared to highs of nearly 74 cents in May 2021. Recently, Elon Musk reiterated that he continues to hold Dogecoin.
In January 2022, Musk had announced that the meme coin can be used to purchase selected Tesla merchandise. Last month, Musk also announced that the coin will be accepted at $Tesla (TSLA.US)$supercharging station. That's a source of support for the big meme coin community.
With a low transaction cost as compared to Bitcoin, more companies are likely to use Dogecoin as a payment method. ![]()
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Louis Jia Heng : Thailand band all cryptocurrencies this week is this another catalyst?