Bitcoin (BTC) starts a new week fresh from its first attempt to crack $50,000 in over a month — what’s in store next?
After an encouraging weekend, BTC/USD faces an increasingly bullish macro climate and a host of expectations from analysts who demand that October changes the game.
Q4, they say, should be unlike anything yet seen in the current Bitcoin bull run, and the latest estimates even argue that there is more than six months left to prove it.
With “Uptober” set for its first full week, Cointelegraph takes a look at what factors could be next to move the market in the coming days.
Markets brace for “tumultuous ride” this October
Stocks may have had a flat September, but the first few days of the new month have already shown how just a little good news can see Bitcoin outperform the macro pack.
While the S&P 500 fell 5% in September, BTC/USD closed the month around $4,000 below where it closed out August.
Since Oct. 1, however, the pair’s fortunes have firmly set a different tone, and against expectations for stocks to rally at the expense of the U.S. dollar, positive headwinds for Bitcoin may well continue.
“Q4 2021 will likely record a higher-than-average return,” CNBC quoted Sam Stovall, chief investment strategist at research firm CFRA, as saying over the weekend.
“However, investors will need to hang on tight during the typically tumultuous ride in October, which saw 36% higher volatility when compared with the average for the other 11 months.”
Last week’s sentiment was driven by the vote on the U.S. infrastructure bill, this now being pushed back until, at the latest, Oct. 31.
One of my reasons to be bullish on #BTC: DXY chart
2 days ago in live stream: “DXY hitting red box, should reverse soon and start a correction”
This correction could take a while and is bullish for crypto imo. pic.twitter.com/bn5LI8B8Gk
— Crypto_Ed_NL (@Crypto_Ed_NL) October 1, 2021
As it stands, USD is at its highest in over a year, as measured by the U.S. dollar currency index (DXY). A reversal in recent days — traditionally a bullish catalyst for Bitcoin — is on traders’ radar.
For popular Twitter trader Crypto Ed, a DXY correction could even last months rather than weeks.
DXY 1-day candle chart. Source: TradingView$50,000, but not yet
After clipping $49,000 over the weekend, Bitcoin is clearly lining up an attack on the all-important $50,000 mark — just not quite yet.
Despite bullish impulses, Sunday’s latest break to