Digital Currency Revolution Series: Spotlight On Bitcoin’s Bullish Driving Forces And Hedging Strategy

Bitcoin price has been showing considerable rallies despite struggling financial times. 

As you could observe, the minor trend takes-off well above 7-DMAs on hammer pattern, Bullish streaks shrugging-off shooting stars, more rallies likely upto next stiff resistance as both leading & lagging oscillators are in line with prevailing uptrend. BTCUSD is currently trading above $7,400 levels.

Since the covid-19 outbreak widens, the renowned investment bank, Deutsche Bank has been encouraging the use of digital currencies amid the mayhem across the global economies. 

Undoubtedly, the novel coronavirus has been altering the methodologies of almost all walks of our lives. The society has been quite cognizant as to how the liquid or physical money could be unhygienic and the covid-19 outbreak has epitomized to emphasize the significance of digital mode of payment. Some research works have reported that there is higher possibility of spreading microorganisms in the paper currency. The pandemic virus likely to survive on the paper currency for approximately a fortnight. Such statistics alerts the sovereign governments to think of alternatives. As a result, many central banks have pondered over their native cryptos. This can, in turn, drives the growing interests in knowing the robustness of the technology behind bitcoin.

The drastic stock market crash in 2020 owing to the pandemic Covid-19 attracts the bailout package worth about $7 trillion for rescuing the economies. Amid such fatal situation, the renowned bitcoin bull, Tim Draper reckons that the confluence of factors paves the way for innovations such as Bitcoin and leads smart contracts like DeFis to prosper.

Fundamentally, it is quite crucial period in the run-up to Bitcoin block reward halving in May. Bitcoin (BTCUSD) halving is expected to be scheduled around 18th May 2020.

Most importantly, the renowned crypto-market participants like, Anthony  Pompliano, Morgan Creek Digital co-founder thinks this halving event is not yet factored-in the underlying price of bitcoin, he divulges this in his latest tweet. 

Under such circumstances as stated above, the bitcoin price has stabilized and attempting to create upside traction. On a broader perspective, from April'16, the BTC has spiked from $414 to the all-time highs of $19k, currently, trading at $ 7.4k mark, which is still 1,660% rallies. When this is the case with BTC, could we fairly criticise the performance of the pioneer cryptocurrency?