China just broke their all time high above 8000 CNY. This area has significant emotional value for Chinese traders because it’s a round number and 8 is considered to be very lucky.
This bull run is likely fuelled by further devaluation of the yuan, more capital controls in China and the recent cash grab in India. Both China and India have the largest populations in the world which could be a huge boost for Bitcoin user adoption.
At this point if the markets continue to accelerate the price could end up going parabolic with rapid price gains. That said, a parabolic move to the upside can have a quick and violent correction to the downside. The faster the market shoots up the harder the price will fall.
In order for this bull trend to stay healthy, we need a slight correction and some consolidation before making the next leg up. A parabolic move to the upside may end up producing gains much higher than most people anticipate. Smart traders and investors will want to be vigilant as we break into new uncharted territory and look for ways to hedge their dollar value gains.
Bitcoin google search terms are on the rise, being at their highest point over a 2 year span. The top ranking countries are coming from Africa, predominantly Nigeria and Ghana. It appears that user interest is growing in many parts of the world.
Strong bull runs are the best advertising bitcoin can get and they usually attract new money into the markets. Bitcoin broke a 17 billion market capitalization and rising. The main difference between this bull cycle verses 2013 is we have more infrastructure and liquidity to accommodate new users. If we continue on our current trajectory we may hit the consumer adoption phase and the increased demand might end up driving prices up to into bubble territory.
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