On Wednesday (January 14), at a time when Bitcoin was trading around $8,756, CNBC’s post-market show “Fast Money” had a chyron claiming that Bitcoin is “going bananas” due to the fact that Bitcoin has surged around 22% against the dollar so far this year.
Fast Money trader Brian Kelly (aka “BK”), who is also the Founder and CEO of digital currency investment firm BKCM LLC, was asked right at the beginning of a segment titled “Bitcoin Goes Bananas” why there was this “sudden” renewed interest in Bitcoin.
Kelly corrected the show’s anchor by saying that it was wrong to call this a “comeback” since Bitcoin was the top-performing asset of 2019 with a return-on-investment (ROI) of +80%.
Next, BK explained that although Bitcoin had had a huge correction in 2018, this kind of price action was not unusual for Bitcoin:
I mean, if you look at the markets, that's a very typical move for Bitcoin.
He then added:
“So, we’re up 80 something percent last year… momentum continues this year — up 22%… I talked back in December how… the price of Bitcoin was mis-pricing the address growth, and so what you’ve started to see is people kind of reprice the underlying fundamentals… address growth, which is the one fundamental I look at, was actually growing while the price was declining… that’s a big buy signal… the exact opposite is happening right now… the Bitcoin price has got a little bit ahead of the address growth.”
He finished by saying that when “when an asset those straight up that means a lot of the news is priced in”, and that’s why he believes that “there’s huge upside for Bitcoin, maybe just not tomorrow.”
Earlier today, popular crypto analyst/trader Josh Rager identified a few important price levels to watch oveer the coming days/weeks:
$BTC – Prices to Watch
$9400's – Held as support for June-Sept range, significant area to break
$10,350s – Point of control, highest volume traded at this pricepoint from May to December
Breaking $10,350s, IMO, will confirm next big uptrend with 5-digit BTC for months to come pic.twitter.com/ZOz3fcOuP2
— Josh Rager 📈 (@Josh_Rager) January 15, 2020
At press time, according to data from CryptoCompare, Bitcoin is trading at nearly $8,800, up 3.24% in the past 24-hour period:
Featured Image Credit: Photo via Pixabay.com