According to CoinDesk, Bitcoin (BTC) crossed the $46,000 mark early Friday, reaching a one-month high as East Asia celebrated the start of the Chinese New Year. The CoinDesk 20 Index, a measure of the largest cryptocurrencies, jumped over 2% during this time. Bitcoin has historically seen gains around the Chinese New Year period, and 10X Research predicts it could rise to as much as $48,000 in the coming days, a gain of at least 11%. In the past two weeks, the asset has added nearly 15%, easing losses as the anticipated bitcoin exchange-traded funds (ETFs) turned out to be a sell-the-news event.
Several ETFs have absorbed more than a billion dollars worth of bitcoin selling pressure in the past few weeks, indicating demand. On-chain analysis firm CryptoQuant noted that bitcoin movements out of miner wallets, which signify selling, seemed to slow. Alex Kuptsikevich, FxPro senior market analyst, said in an email to CoinDesk that Bitcoin rose above its 50-day moving average late Wednesday, confirming the bullish medium-term trend and easing fears of a deeper correction. He added that on a weekly basis, bitcoin and the broader crypto market have gained strength after a long period of consolidation and are now poised to make new highs.
