Bitcoin, the primary crypto asset has surged to a staggering $89,000 price level in the wake of the recent bull run sweeping through the crypto market.
The Flagship cryptocurrency has surged by 9.4% in the last 24 hours and a whopping 29.6% in the last 7 days.
According to Coingecko’s data, Bitcoin is currently exchanging hands for $89,123 just $1,000 shy of a major milestone of $90,000
The Bitcoin rally started during the United States Election week and intensified after Donald Trump was announced as the winner of the election.
However, several analysts have pointed out that the current bull run is quite euphoric and temporary. They warned that traders should be cautious about buying further during the market euphoria citing impending volatilities and Price correction.
Bull run described as Market Euphoria by Analysts
Several analysts and crypto founders have given their opinions on the current bull run in the market, especially in the case of the Bitcoin rally.
Azeem Khan, the co-founder of Morph argued that with Bitcoin crossing the $85,000 mark the crypto market is currently in Euphoria. He cautioned traders against further buying due to the likelihood of a future correction.
“Now that Bitcoin has crossed $85k, we’re absolutely at the place where euphoria has set into the market”. Khan stated
“Where it goes from there is hard to say… since we’re so early in euphoria I’d say we’re back at the place where people who don’t care about crypto from our families will be asking us what tokens to buy,” Khan added
Analysts at Singaporean-based QCP Capital mirrored Khan’s sentiment in their analysis of the situation. QCP Capital analysts call for a need for caution driving their point from a technical perspective.
The Analysts pointed out the significant increase in perpetual funding rates and basis yield which indicates over-leveraging.
Bitcoin’s rally has taken the crypto market by storm. On the last day of last month, Bitcoin was struggling to break through its all-time high of $73,737.
The situation has now changed with Bitcoin smashing its all-time high in the first week of November and surging to new heights of $89,000.
What to Know
- Analysts believe that Bitcoin is well on its way to hitting $100,000 before the end of the year following the current bull run. They have also warned that the Market has entered a Euphoric state and price corrections are imminent.
- Bitcoin, the largest crypto asset by market capitalization has seen its Market cap grow currently to $1.7 trillion extending its dominance over all altcoins to 55.4%.