Bitcoin price ascends as fundamentals show increasing strength
Late last week, BTC's hashrate levels scaled up to an all-time high of 222 exahashes per second (EH/s).
- Experts believe that the coming few days could see Bitcoin scale up to a price target of AUD$60,000 (US$45,000).
- Ultimate Fighting Championship (UFC) flyweight star Matheus Nicolau recently revealed that he is taking all of his future paychecks in BTC.
- The total market capitalisation of the digital asset sector has risen by over 9% over the past week.
Bitcoin, the world's largest cryptocurrency, has been on a tear over the past fortnight, with the asset registering gains of approximately 10%. However, this speedy ascent has had analysts bewildered, with some stating that a minor correction may be on the horizon soon. At press time, BTC is trading at a price point of AUD$56,922.
In regards to what lies in the flagship crypto's near-term future, pseudonymous analyst Rekt Capital believes that if BTC is able to maintain its current levels for a few more days, it will most likely spring ahead and settle down around the AUD$48,000 (US$35,800) resistance. He also noted that the ongoing rise signals the conclusion of Bitcoin's recent volatility stint.
Scott Melker, an independent analyst and host of the popular The Wolf of All Streets podcast, opined that Bitcoin's fundamentals show that the currency is consolidating and making an upward move, potentially eyeing a resting ground of approximately AUD$61,000 (US$45,500).
However, not everyone is convinced of the same, with some traders noting that the sudden surge may be a trap that will "take out the early shorters" before BTC goes down to correct once again. At press time, the total market cap of the digital asset sector has risen to AUD$2.68 trillion (US$2.01 trillion), with Bitcoin's dominance rate now at 42%.
Is Bitcoin's surging hashrate sustainable?
While markets across the board continue to be faced with a lot of turbulence, a little less than a week ago, Bitcoin's hashrate levels scaled up to a new all-time high. This suggests that the network is more resilient than ever to third-party attacks.
That said, some pundits are still divided as to whether this upward trend can continue or not. The Investor's Podcast host Preston Pysh notes that this change in BTC's hash ribbon data is not an entirely positive sign and may actually be foreboding of an upcoming "hashrate lull".
It is worth remembering that following China's crackdown of its flourishing crypto market last year and Kazakhstani authorities clamping down on mining operations over the past few months, Bitcoin has mounted a remarkable comeback. The currency's hashrate rose to a mammoth 222 EH/s earlier this month.
Mainstream adoption growing as UFC star requests salary in BTC
Top 10 flyweight for the UFC Matheus Nicolau has become the latest addition to the list of world-class athletes to receive their salaries in Bitcoin. Nicolau announced 2 days ago that he had taken his first of many paychecks with the premier fighting organisation via Bitcoin. Crypto-fiat payroll service Bitwage assisted the deal.
When asked about why he decided to opt for crypto rather than US dollars, Nicolau stated that ever since he learned about Bitcoin, he wanted to combat rising inflation rates and maximise his savings.
Interested in cryptocurrency? Learn more about the basics with our beginner's guide to Bitcoin, dive deeper by learning about Ethereum and see what blockchain can do with our simple guide to DeFi.
Disclosure: The author owns a range of cryptocurrencies at the time of writing.
