Bitcoin breaks above $40K, but may not be out of the woods yet

15 Jun 2021

???? BTC | $40,547 (+1,590, +4.1%)

???? ETH | $2,614 (+116, +4.7%)

???? XRP | $0.89 (+0.02, +1.9%)

???? LTC | $180 (+9, +5.4%)

Bitcoin has now gained over +20% over the last 7 days, marking a steady recovery after going as low as $30K earlier in May. It however remains hugely adrift of its April highs of over $60K, after a massive wave of negative news and social media coverage triggered massive panic selling across most cryptocurrencies.

On-chain metrics show that long-term holders are buying and holding Bitcoin during this period, with Bitcoin still over -30% away from all-time highs. Looking at data from May onwards, long-term holders picked up an extra 500’000 BTC (Glassnode data).

To the surprise of many, Bitcoin is now consolidating higher after yet another positive Elon Musk tweet. Sentiment in some quarters does appear to be turning positive, with 87% of investors surveyed by crypto broker Voyager stating that they plan to open long positions in cryptocurrencies over the next quarter.