Bitcoin Tags $10.5k In “4th Largest Gain In History”

Starting around 9 am on Friday, a monster bid came into the crypto space, more specifically into Bitcoin, and launched the coin more than 40% in 16 hours to 10,490 by 1:50 am Saturday. 

As of 6:30 am Saturday, the entire space is a sea of green…

Less than 24 hours ago, Bitcoin was trading under 7,600, consolidating in the range of 8,500 to 7,500 for 29 days, after a late Sept. plunge of more than 21%. 

One Twitter user said: “$BTC has moved +42% today – 4th largest gain in history and largest since May/10/2011 (if comparing against daily returns). – 15th largest two-day gain in history, Nov/18/2013. Thank you China. President Xi is the true Crypto Dad.”

$BTC has moved +42% today

– 4th largest gain in history and largest since May/10/2011 (if comparing against daily returns).

– 15th largest two-day gain in history, Nov/18/2013.

Thank you China.

President Xi is the true Crypto Dad.

— Alex Krüger (@krugermacro) October 26, 2019

Some crypto traders have said the latest consolidation pattern is part of an over symmetrical triangle that could lead to higher prices in the future. Resistance is seen on a diagonal declining supply line, as made evident in the 1H19 +230% ramp, which found resistance around 11,000. 

Bitcoin on a weekly timeframe holds a 50-day exponential moving average. 

Beyond technical circles, the mood suggests a catalyst is needed to overcome this. This week, investor Mike Novogratz told mainstream media that new custody solutions for institutional investors could be the clinching factor. 

“It’s going to need new energy to really make the big move,” he said in an interview with CNBC.

And how is Wall Street positioned? According to a new report from US Commodity Futures Trading Commission (CFTC) on Friday, the market is net short Bitcoin futures for the week ending Tuesday. Non-commercial investors held a net short position of 770 Bitcoin futures contracts. 

Finally, we note that this sudden surge comes as the hash-rate reaches record highs, suggesting miners remain bullish…

And Twitter/Square’s Jack Dorsey could not have been clearer: “We love you Bitcoin.”