Bitcoin at the moment trades for $8,807 at a time the world’s largest economy is facing a looming recession.
Although the Federal Reserve is pumping trillions into the economy, the US Stocks markets couldn’t be saved from the free fall it is undergoing currently.
Bitcoin Rallies to $8,800
Data from the last 24 hours of trading in the Bitcoin market indicates that Bitcoin reached a daily peak of $9,400.
The Cryptocurrency which currently trades around $8,807 performed better than the US Stocks market despite all the efforts by the Federal Reserve to pump more money into the economy and save the stock market.
Bitcoin’s bullish trends started at the onset of the week with the cryptocurrency almost easily sailing beyond major resistance areas. Bitcoin moved from the $7,000 price level to a $9,000 zone less than a week.
With barely 10 days left until the third Bitcoin halving, Bitcoin bulls are running the market at a faster pace and forcing prices to rally further.
Why will the Bitcoin Price Continue Increasing?
With the current market movements, it’s optimistic that prices will continue rallying beyond the current level. First, according to daily charts, Bitcoin reached $9,400 during the day but did not have enough support to remain in the $9,000 price zone.
Secondly, Bitcoin cleared off the major price resistance at around $8,000 and rallied well beyond that price level.
Transactions within the Bitcoin market in a period of fewer than 24 hours shot beyond $24 million, an indication of a high level of market activity.
If Bitcoin managed to get hold at the $9,000 price zone, the cryptocurrency could increase parabolically.
US Economy Showing No Signs of Improvement
Meanwhile, the US economy is declining further although the Federal Reserve is pumping trillions of dollars into the economy. The recent analysis put the economy at one of its worst times in history with a looming threat of a major recession.
With more than $3 trillion spent on the economy to trigger an early recovery, the US economy is not showing positive signs of any economic recovery at the moment.
The Federal reserve moved further to lower interest rates loans to put more money in the hands of Americans so as to keep the economy afloat.
Read about the Stimulus checks provided by the US Government to Americans amid fighting COVID-19
The Federal reserve’s Chairman Jerome Powell revealed that the central bank would continue to put more money into the economy until the economy gets on track.
But he warned that the crisis would heavily affect the country’s economy.
Also, We all know the US has the best minds at work and will fight back everything to keep the rails running again!