Overnight, Bitcoin has done what it does best, getting back to winning ways. The asset began surging towards the end of Monday and in a couple of hours was up by more than 7%.
Before the surge, there was a contrasting opinion over where the asset would go next. Some technical analysts like Josh Rager were predicting that the asset would test the $9K lows before surging. As has always been the case, one must not bet against Bitcoin. In less than 12 hours, the asset has climbed from around $9,700 to hit a high of $10,657.
With the increased price has come increased dominance. Having started the week around 65%, this has surged to hit over 70%. In spite of losing dominance to Bitcoin, altcoin bulls have been putting up a fight. Top altcoins are recording gains of between 2% to 10%. As Bitcoin continues to gain momentum, it is unlikely they will be able to maintain the same momentum.
As for Bitcoin daily trading volume, this has also gone back to recent highs as it climbs above $21 billion. Altcoins have also stepped up with Ethereum and XRP, for example, recording high trading volume of over $7 billion and $1 billion respectively.
What Triggered The Surge?
Bitcoin is set for a strong September. A few triggers have investors anticipating a strong run that could see prices revisit year-to-date highs. As we have reported, one of these is the launch of Bakkt Bitcoin futures.
This is expected sometime in the month and will see institutional investment flood in. After several delays over the past few months, investors hope that this time the launch will go through and boost Bitcoin.
The U.S-China trade war is also a potential catalyst. A set of new tariffs took effect on September 01 and investors are now feeling the full weight of the trade roar. As this goes on, we could see new measures put in place as we approach deadlines for other sets of tariffs.
Another possible catalyst has been the newly introduced capital’s control in Argentina. The country has imposed $10,000 as a monthly spending limit. This means one cannot buy more than $10,000 in a month. This measure is aimed at preventing the local economy from struggling. Bitcoin purchase is expected to rise in the country with the USD now out of reach.
Enough Fuel To See Bitcoin Reach New Highs
Whatever the reason has triggered the surge, investors are just glad that prices are now headed in the desired direction. They also anticipate that the gains will keep coming in the days and weeks to come fueled by these triggers.