Things are looking good for Bitcoin investors who persevered through the market correction earlier this year. Going into the middle of August, Bitcoin prices surpassed the $45K level before experiencing a slight retreat, but expectations are high for this token to reach the highly psychological pricing level of $50K.
Quite a few analysts and Bitcoin experts believe that the Bitcoin price surge will continue and continue to be volatile until the end of the year. A quick look at pricing charts gives us some insight into the situation. The RSI charts clearly illustrate that the most recent bull run experienced a sharp decline around the 5th and 6th of August and after that, the price continued to fall until hitting the current price range. The situation has been exacerbated by the regulatory challenges Bitcoin faces and the fact that a lot of people around the world have been buying Bitcoin on the expectation of a return. However, the price of the Bitcoin is currently trading around $45,000. That being said, there are several factors that will ensure a strong future for this cryptocurrency and Bitcoin industry, but we should not lose sight of altcoins and what their investors are doing now that Bitcoin is on the rise.
Shortly after Bitcoin prices settled around $45K, a 40% rally materialized for tokens such as EGL, VGX, and ICP. These digital currencies are not considered to be Bitcoin competitors, but they are closely watched by active day traders who keep an eye on technical charts.
The rally was driven by an optimistic news flow. With the beginning of August, Binance’s exchange market was in a downtrend, and after the successful launch of its decentralized exchange (DEX), the price of Binance Coin (BNB) rallied 40% from $6.18 to $9.33. News like the creation of a partnership with Microsoft Azure, the company’s decentralized exchange launch and the inclusion of bitcoin in its new mobile wallet also contributed to the rally.
In general, altcoins and decentralized finance tokens tend to ride the Bitcoin market fluctuations, but investors should monitor the financial news wires for positive fundamental developments that may provide an even greater boost.