{"id":156991,"date":"2021-01-18T12:00:00","date_gmt":"2021-01-18T09:00:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week\/"},"modified":"2021-01-18T12:00:00","modified_gmt":"2021-01-18T09:00:00","slug":"bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week\/","title":{"rendered":"# Bitcoin meets Biden: 5 things to watch for BTC price this week"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3acf1028bd7\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3acf1028bd7\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week\/#DXY_keeps_reversing_losses\" >DXY keeps reversing losses<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week\/#Stocks_need_a_rest_says_analyst\" >Stocks need a rest, says analyst<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week\/#Spotlight_on_%E2%80%9CAltseason%E2%80%9D\" >Spotlight on \u201cAltseason\u201d<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week\/#Price_action_leaves_all-time_highs_untouched\" >Price action leaves all-time highs untouched<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/buradabiliyorum.com\/en\/bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week\/#Fundamentals_hit_new_record_highs\" >Fundamentals hit new record highs<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Bitcoin meets Biden: 5 things to watch for BTC price this week <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-5a136f3a>Bitcoin (BTC) is back in familiar territory as the week begins after a weekend spent ranging in its new, albeit large, trading corridor above $30,000.<\/p>\n<p>With the United States presidential inauguration just days away, Cointelegraph takes a look at what else may be able to shake up BTC price action.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"DXY_keeps_reversing_losses\"><\/span>DXY keeps reversing losses<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The inauguration of President-elect Joe Biden comes as the strength of the U.S. dollar continues to rebound.<\/p>\n<p>On Monday, the U.S. dollar currency index (DXY), which measures USD relative to a basket of major trading partner currencies, hit its highest level since Dec. 21. <\/p>\n<p>The sustained upside in DXY tends to mean that Bitcoin growth takes a breather, this inverse correlation forming a conspicuous pattern throughout 2020. In the event, BTC\/USD had little to lose during the latest gains, the majority of which were preserved despite huge volatility.<\/p>\n<p>DXY was likewise unfazed by Biden\u2019s decision to spend another $1.9 trillion in debt-financed coronavirus support, something that was <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/tyler\/status\/1349871350467481601\">described<\/a> last week as \u201canother multi trillion dollar advertisement for Bitcoin\u201d by Gemini exchange co-founder, Tyler Winklevoss.<\/p>\n<p>As Cointelegraph reported, however, analysts still favor dollar weakness to continue in the long term. Even traditional market participants continued to eye the extent of USD supply increases, a move which has shocked many into considering Bitcoin as an alternative store of value.<\/p>\n<p>\u201cA currency market isn&#8217;t different from any other market,\u201d William Dinning, chief investment officer of U.K. fund manager Waverton Asset Management, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.wsj.com\/articles\/foreign-investors-expect-the-dollar-to-remain-weak-under-biden-11610773531\">told<\/a> the Wall Street Journal over the weekend. <\/p>\n<blockquote><p>\u201cIf there&#8217;s a lot of potatoes available, it&#8217;s going to be cheaper. If there&#8217;s a lot of dollars available, it&#8217;s going to be weak.\u201d<\/p><\/blockquote>\n<p>Nonetheless, incoming Treasury Secretary Janet Biden has said that the U.S. will not deliberately aim to maintain a weak dollar for the benefit of trade advantages.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-01\/081499a4-11ca-4c45-a686-9e3f87022382.png\"><figcaption style=\"text-align: center;\"><em>U.S. dollar currency index 1-day candle chart. Source: TradingView<\/em><\/figcaption><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"Stocks_need_a_rest_says_analyst\"><\/span>Stocks need a rest, says analyst<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>On the markets, stocks showed indecisiveness as the week got underway, having calmed down from Biden\u2019s announcement. <\/p>\n<p>Asia saw mixed performance, and with Wall Street still to open at press time, U.S. futures were just a tad higher from Friday.<\/p>\n<p>The lackluster gains were curious for some, coming despite the fact that China had delivered Q4 economic growth statistics which dwarfed any expectations. As Bloomberg reported, the world\u2019s second-largest economy grew 6.5% during the quarter, making it the only major economy to avoid a coronavirus contraction last year.<\/p>\n<p>\u201cMarkets needed a breather or even a pull back to justify reflationary expectations,\u201d Ben Emons, managing director of global macro strategy at Medley Global Advisors, <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2021-01-17\/asian-stocks-poised-for-soft-start-dollar-steady-markets-wrap\">explained<\/a> to the publication.<\/p>\n<p>As Cointelegraph reported, Bitcoin continues to outpace any traditional assets in terms of gains in 2021, with correlation trending further and further towards zero for both stocks and safe havens such as precious metals.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-01\/eb2775fe-cdc6-4d42-a680-b52465c67bc6.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin rolling 90-day returns correlation. Source: Digital Assets Data<\/em><\/figcaption><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"Spotlight_on_%E2%80%9CAltseason%E2%80%9D\"><\/span>Spotlight on \u201cAltseason\u201d<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Also taking a breather in recent days is Bitcoin itself. After weeks of intensely volatile trading conditions, investors were treated to a quiet weekend, which also came as a welcome surprise to exchanges.<\/p>\n<p>Previously, U.S. platforms Coinbase and Kraken had suffered outages at critical price points, and fellow trading platform eToro last week warned that it may have to limit Bitcoin buy orders should the weekend produce fresh volatility.<\/p>\n<p>In the event, things were much quieter than anticipated, thanks to BTC\/USD remaining rangebound with no real changes up or down.<\/p>\n<p>As Cointelegraph Markets analyst Micha\u00ebl van de Poppe noted, attention was instead beginning to refocus away from Bitcoin towards altcoins. <\/p>\n<p>In a <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/CryptoMichNL\/status\/1351050437462470657\">tweet<\/a> on Monday, he reiterated the narrative that other cryptocurrencies would begin to take the limelight in the short and mid term. He summarized:<\/p>\n<blockquote><p>\u201cMost likely going to occur at this point is the following. Relief rallies all across the #altcoin markets. FOMO on altcoins. #Bitcoin corrects one more time -&gt; altcoins making HL and retesting.<\/p><\/blockquote>\n<p>A glance at the rankings confirmed the beginning of what is popularly called \u201cAltseason,\u201d with five of the top 100 cryptocurrencies by market cap posting daily gains of more than 20%. In terms of weekly performance, seven tokens were up by more than 100%.<\/p>\n<p>Ether (ETH), the largest altcoin, was itself heading towards all-time highs, climbing past $1,200 again after a dip which saw it at one point lose $1,000 support. <\/p>\n<p>With that, Bitcoin\u2019s market cap dominance was slipping further on Monday, reaching 66.3% compared to 69.5% at the start of the year.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-01\/9ccb9840-18cc-4677-a078-73b13b2f24df.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin market cap dominance percentage. Source: Tradingview<\/em><\/figcaption><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"Price_action_leaves_all-time_highs_untouched\"><\/span>Price action leaves all-time highs untouched<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>For the spot market, Bitcoin was steadily decreasing volatility as the week began. The past three days saw a narrowing of the trading range within the $30,000-$40,000 corridor, with a pattern of lower highs and higher lows known as compression taking over.<\/p>\n<p>As Van de Poppe noted last week, this is a welcome sign which gives the market time to recoup the strength required for an ultimate breakout of the compression structure. In Bitcoin\u2019s case, this should result in a push towards or even through current all-time highs of $42,000.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-01\/41e018e4-aca1-4b5d-9410-c45aea634188.png\"><figcaption style=\"text-align: center;\"><em>BTC\/USD 1-hour candle chart (Bitstamp). Source: TradingView<\/em><\/figcaption><\/figure>\n<p>Considering the longer term, meanwhile, he <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/CryptoMichNL\/status\/1350023420168306690\">forecast<\/a> that in this bull cycle, Bitcoin would reach between $275,000 and $350,000. For Ether, the top lay between $7,500 and $12,500, he told <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> followers on Friday.<\/p>\n<p>For fellow analyst filbfilb, meanwhile, there was still a way to go before any form of significant upwards volatility returned to Bitcoin.<\/p>\n<p>\u201cInteresting fractal going on here. Turn break 40k and turn into support and its a full moon mission,\u201d he summarized to subscribers of his dedicated Telegram channel, highlighting a chart structure which may allow a <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/trip-and-travel\/\" data-internallinksmanager029f6b8e52c=\"10\" title=\"Trip &amp; Travel\" target=\"_blank\" rel=\"noopener\">trip<\/a> to the top of the trading corridor.<\/p>\n<blockquote><p>\u201cIf the fractal plays out we might pump it to 40k and then retrace. Break the diag and turn it to resistance and maybe we need to play about more in this range.\u201d<\/p><\/blockquote>\n<h2><span class=\"ez-toc-section\" id=\"Fundamentals_hit_new_record_highs\"><\/span>Fundamentals hit new record highs<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Finally, a familiar bull signal returned to investors\u2019 radar in recent days. A classic sign that further upside is in store for price, Bitcoin\u2019s network fundamentals hit fresh all-time highs.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-01\/678b75b6-6054-4754-8753-818145aa5066.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin hash rate and difficulty. Source: Digital Assets Data<\/em><\/figcaption><\/figure>\n<p>For hash rate, which gives an estimate of the computing power dedicated to the Bitcoin blockchain, this came in the form of 155 exahashes per second (EH\/s) on Sunday. <\/p>\n<p>The metric has been on a near-constant ascent since the end of December, adding 25 EH\/s in just two weeks.<\/p>\n<p>Just as bullish was difficulty, arguably the most important fundamental metric for Bitcoin, as it offers an insight into miner health and competitiveness. <\/p>\n<p>After a 10.8% increase at the last automated readjustment on Jan. 9, difficulty hit a new record high of 20,607,418,304,385. The next readjustment, due in four days\u2019 time, will add another 6%, current estimates say.<\/p>\n<p>Sustained upside for both indicators has traditionally been associated with price gains, these occurring after a grace period which can last up to several months.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/bitcoin-meets-biden-5-things-to-watch-for-btc-price-this-week\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Bitcoin meets Biden: 5 things to watch for BTC price this week &#8221; Bitcoin (BTC) is back in familiar territory as the week begins after a weekend spent ranging in its new, albeit large, trading corridor above $30,000. With the United States presidential inauguration just days away, Cointelegraph takes a look at what else&#8230;<\/p>\n","protected":false},"author":1,"featured_media":156992,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2021-01\/81479229-b532-4b92-8280-33d75b13bdc4.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,74862,74937,82402,73785],"class_list":["post-156991","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-bitcoin","tag-bitcoin-price","tag-ether-price","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/156991","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=156991"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/156991\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/156992"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=156991"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=156991"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=156991"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}