Bitcoin’s rally toward the $20,000 level is supported by a spot-trading volume on exchanges that is a record for 2020. This comes from Arcane Research’s report.
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Analysts note that daily turnover on crypto exchanges reached $5.5 billion — higher than during Bitcoin’s March crash ($5.05 billion).
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Total spot exchange turnover with broadly reliable trading volumes. Data: Arcane Research, Skew, Messari.
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The seven-day moving average of spot volume stands at $3.5 billion, matching December 2017 levels.
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The cryptocurrency ‘Fear Index’ also signals market enthusiasm, holding at 88. Last week the indicator reached 94, indicating the extreme greed of market participants.
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Data: Arcane Research. Alternative.me.
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Analysts expect a rapid retest of the $20,000 level reached at the end of 2017.
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“Given the current price dynamics, it would not be surprising if Bitcoin heads into uncharted territory above $20,000,” Arcane Research said.
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If this level proves to be a serious obstacle for digital gold, the downside correction will be held at the $16,000 mark, the report says.
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For now, it sits around 2% below its all-time high against the dollar.
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Earlier, ForkLog reported on new records in Bitcoin futures and options markets.
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