Bitcoin Optimism Pushes the Price Higher by 5% on the Day
Bitcoin prices have been trading largely sideways and modestly to the downside this week as crypto investors struggled to sustain the bullish trend. The price is now on track to avert a sixth straight day of declines as the last five days turned out to be difficult for bitcoin supporters.
Since Sunday, Mar 21, bitcoin has been posting new lows for five consecutive sessions. Today, however, the outlook appears bright as the sentiment is predominantly positive. The world’s largest cryptocurrency is up 5% from its session low today. Bitcoin is now trading around $53,600 with an intraday low of $51,200 and a daily high of $53,800.
Late on Thursday, bitcoin reached a two-week low when the asset’s price dipped to $50,400, a price level last seen on Mar 9 when bitcoin was hitting full steam right before it notched a fresh all-time record of $61,800 on Mar 14.
Institutional Backing for Bitcoin
For the past few days, bitcoin remains pressured. The digital asset is trading 5% down Monday-to-date. The week was relatively eventless, which is rather uncommon in the current environment, given that bitcoin has received tons of institutional backing so far this year. Big corporations, large financial institutions, and professional money managers have embraced the crypto asset and are now involved with it in different ways.
A single tweet by Elon Musk in mid-week was not enough to provide the needed buying momentum. On Wednesday, Elon Musk tweeted that people in the US could now purchase Tesla cars with bitcoin. The positive effect on the price was short-lived as pressure mounted and the 5% gain was soon erased and bitcoin subsided to lower levels.
The current price, however, is 6.7% higher than the weekly low as some optimism is cracking through the negative weekly performance.