40.000 US dollars! Will the correction now follow?
- Resistance broken - but what's next?
- A correction is long overdue
Now it was suddenly happening in rapid succession! Bitcoin was still at 7 US dollars on January 9th at 30:36.500 a.m., followed by a bull run that catapulted the crypto currency to 40.180 US dollars (19:20 p.m.). On January 4th, at the beginning of the first calendar week of 2021, the Bitcoin price was around 29.000 US dollars - an increase of 11.000 US dollars in less than five days!
But even if the resistance at $ 40.000 could be broken, Bitcoin was unable to hold the $ 40.000. Considering the fact that the Bitcoin price has risen by 31 percent in the last seven days, it may not come as a surprise that there are always signs pointing in the direction of "correction".
Why it can now even go up to 20.000 US dollars
There are several reasons why the soaring could now be over: Investors who got in at US $ 20.000 have now doubled their investment amount - this was also shown by the correction at US $ 40.180. Because in the following it went towards 37.200 US dollars - a minus of around 3.000 US dollars! Even if the Bitcoin price then rose again to over 39.000 US dollars, there were always smaller setbacks. Bitcoin is currently at $ 38.000. But it looks as if - at least for now - the air is outside.
Also on eToro it could be observed that after jumping the 40.000 US dollar mark, that is around 32.300 euros in the end, there was something like “profit-taking”. In addition, with such strong jumps and developments, corresponding sales positions are triggered - as already mentioned, an actual doubling may have occurred with the entry at 20.000 US dollars.
It is also no surprise that the Bitcoin will "overheat" at some point and enter a cooling phase. Many investors are now waiting for setbacks to get back in. A correction that could push Bitcoin towards US $ 30.000 cannot be ruled out.
It looks like Bitcoin needs a break. And it's not just the cryptocurrency that is out of breath - investors, speculators and smaller investors who only have to process the last few days like weeks now need a breather.