There are times when the fundamentals and technicals align, the past week has certainly been one of those moments in bitcoin.
The election of a crypto-friendly Republican slate combined with the break of a long-term range has been rocket fuel for bitcoin and it’s now above $85,000 for the first time ever.
I’ll stand by what I wrote on Wednesday when it was $10,000 lower:
Bitcoin is also a remarkably technical asset and if it can hold this break above $72K (maybe into the weekend)? Then there is a good case for a move into the $90s. There is no doubt that a Trump administration is much more inclined to ease the regulatory burden in crypto and ethereum is modestly outperforming bitcoin on the assumption that an ETF is a done deal (I think it was done deal either way).
Now there is some fear creeping in about overbought conditions and that’s reasonable but when it comes to all-time highs, bitcoin tends to respond to big round numbers more than anything so it’s best to hang on for the ride.
This article was written by Adam Button at www.forexlive.com. Source