Bitcoin’s year-long rally is creating a sense of urgency among traders to buy more while prices are still relatively low. The fear of missing out (FOMO) could send bitcoin surging past $10,000 as early as this week, according to Naeem Aslam, chief market analyst at ThinkMarkets.
In a recent note to ThinkMarkets subscribers, Aslam said he expects bitcoin to pierce above the coveted, yet highly elusive, $10,000 mark either this week or next.
“Technically speaking, I think bitcoin price is likely to blast through level of 10K this week or by next week if the momentum continues at this pace… “The price is trading well above the important moving averages, 50, 100 and 200-day simple moving averages and the most important among all of them is the 242-day moving average.”
Aslam doubled down on this bullish forecast in a Monday tweet, where he said a FOMO-inspired rally was building.
Folks get ready for the #Bitcoin price to blast through the 10k
A major FOMO is about to be triggered
— Naeem Aslam (@NaeemAslam23) 27 mai 2019
Aslam has had a pretty good handle on bitcoin’s price trajectory. Two months ago, he accurately predicted that BTC could surge to $6,500 very soon.
The bitcoin price spiked above $8,900 on Monday, reaching its highest level in a year. The leading digital currency is currently trading at $8,670 on Bitstamp, down slightly on the day. The technical outlook has not changed: bitcoin remains in heavy accumulation and momentum is firmly on the side of the bulls. The 200-day moving average looks like a distant memory at this point.
All About Accumulation
Bitcoin’s strong upside is being guided by an accumulation frenzy, with whales, retail traders and even institutions buying and holding the virtual currency for the long haul. Case in point: 60% of all bitcoin have not moved in one year. That’s equivalent to 10.5 million BTC.
Regarding accumulation, bitcoin’s unspent transactions have surged to record highs. In fact,, the number of unspent transaction outputs ont he Bitcoin network has been rising in linear fashion since mid-2018.
The path to $10,000 appears to be a foregone conclusion at this point. The market has only experienced a few major corrections since the bull rally began and the largest of those was caused by an anomaly (read here). In terms of technical levels, the next major targets for the bulls are $9,000, $9,500 and $9,600 en route to the five-figure level.
A big correction will likely be in the cards at some point, though the extent of the pullback is subject to a high degree of speculation. The upcoming halvening event, scheduled for May 2020, is creating a sense of urgency to buy and hold BTC in anticipation of further price gains.
Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock. Charts via TradingView.