Bitcoin Breaks Through $25K: Here’s Why It’s Soaring Now

Summary

• Bitcoin’s price jumped by more than $1,820, potentially marking a yearly high beyond $25,000.
• The surge was caused by an increase in hash rate and short liquidations, as well as a consolidating DXY index.
• Bitcoin is close to slicing through its 200-day weekly MA and could reach $25K at any moment from now.

Bitcoin Price Jump

Bitcoin price marked the single most significant green candle for the first time since 9th September 2022 with a jump of $1,820. The trend is believed to remain elevated until the token marks the yearly highs beyond $25,000 which is expected to occur in a short while from now. Cryptocurrency markets have been surging heavily as global market capitalization saved itself from dropping below $1 trillion, rebounding beyond $1.12 trillion. Bitcoin’s price has risen by more than 10% since early trading hours, reaching levels beyond $24,600 for the first time since August 2022.

Factors Behind Surge

As Bitcoin surged significantly higher today, it can be attributed to several factors. Firstly, the hash rate – processing power of network to process transactions and create new tokens – reached its all-time high (ATH). This means that more nodes are competing among themselves to validate transactions resulting in the network becoming much more decentralized with less risk of a security breach. Furthermore large short liquidations over $78 million were recorded in previous days helping push prices higher by over 12%. Lastly consolidation on DXY Index also provided support leading up to this recent surge in BTC prices towards new highs.

Closing In On 200-Day MA

Currently Bitcoin is closing in on their 200 day moving average (MA) which could provide additional long term momentum if it’s able to successfully break through it. Should this happen then there is potential for BTC price mark even higher levels past current ATHs and potentially make its way up towards 25K very soon!

Conclusion

In conclusion we can see that Bitcoin has surged significantly due multiple factors such as hash rates reaching ATHs, large short liquidations and consolidation on DXY index providing much needed support for prices going forward . If BTC manages to break through their 200 day MA then there’s potential for prices making their way well above current ATHs very soon!