Bitcoin built on last week’s incredible bull run from by zooming past the $8,000 mark on Tuesday, even as most altcoins fell against the dollar.
Bitcoin prices reached a 60-day high after gaining more than 4% on Tuesday morning to trade at $8,010. The world’s largest cryptocurrency by market capitalization managed to sustain a bull run that begun last week Monday while pushing prices up by more than $1,500.
It gained over $200 dollars within the space of 2 hours to hit $7,991, and shortly afterwards it rose further to $8,031, breaking the $8,000 resistance level. According to data from CoinMarketCap, Bitcoin’s weekly and monthly gains now stand at around 3.8 and 34 percent respectively.
Bitcoin’s current resurgence has however not extended to the entire cryptocurrency market. Some of the top 20 Altcoins like Verge (XVG), Tether (USDT) and Nem (XEM) have seen significant drop in prices. XVG in particular lost up to 0.8% on Tuesday, and it was trading at $0.022892 at press time.
The latest price trend has seen bitcoin expand its market dominance to 46% or nearly half of the entire cryptocurrency market. The price rally has also taken the total market capitalization of all cryptocurrencies to around $294 billion, inching closer to its intra-weekly high of around $300 billion.
Bitcoin is still way off its December 2017 record price of $20,000 but it is enjoying what is perhaps its most favorable market sentiment in months, spurred on by the news that the SEC may approve the CBOE’s application for a crypto ETF trading license and reports that investment firm BlackRock may also be eyeing an entry into Bitcoin futures trading.
While the current price trend indicates a bull market, some analysts have cautioned that the current rally is unsustainable and already overstretched.
It has climbed 40% from the seven-month low of $5,755 reached in June. The relative strength index (RSI), is currently at 74.5656 – its highest level since December – indicating it already significantly above the overbought zone of 70.00 meaning prices could see a pull back in the following days.