The price of Bitcoin (BTC) surpassed $17,000 for the first time since December 2017, continuing its current uptrend. The rally comes after BTC broke out of the previous parabola, which initially caused concerns.
Three factors likely contributed to the ongoing rally: a new parabolic trend, resilience above $16,000, and Bitcoin absorbing whales’ selling pressure.
New parabolic trend
On Nov. 16, Cointelegraph reported that analysts found the Bitcoin price dipped below a parabola dating back to September.
Though the trend seemed concerning, new parabolic trends could reemerge in a bull cycle. As such, when BTC dropped below the parabola, some analysts said that BTC could form a new parabolic uptrend.
Typically, when Bitcoin falls out of a parabola and enters a short-term bear cycle, the price dips rapidly and can correct by as much as 80%. In the case of BTC in the past few days, it remained stably above $16,000.
The stability of Bitcoin decreased the probability of a