Quick summary:
- Tyler Winklevoss has declared that $10k is Bitcoin’s new baseline
- His comments come after BTC dipped hard from $12k levels but still managed to get back above $10k
- Bitcoin’s final hurdle this week is the weekly close only hours away
It has been a dramatic first week of September with Bitcoin kicking off the month by breaking the $12,000 ceiling. However, this accomplishment was short-lived as Bitcoin started what would be a good downward spiral that started on the 2nd of September and momentarily cooled down today, September 6th.
During the aforementioned week of selling, the value of Bitcoin dropped below $10,000 approximately four times only to manage to get back past the crucial psychological price level. On the four occasions that Bitcoin fell below $10k, its value went as low as $9,969, $9,873, $9,969 and $9,818 respectively. At the time of writing, Bitcoin has found solid support above $10,200 and is currently trading at $10,221.
$10k is Bitcoin’s (BTC) New Baseline
Bitcoin’s behavior maintaining its value above $10k has led to the Co-Founder and CEO of Gemini Exchange, Tyler Winklevoss, to conclude that $10,000 is the new baseline for Bitcoin. Mr. Winklevoss also expressed optimism that Bitcoin was currently consolidating before its next move up. Below is the tweet by Tyler Winklevoss commenting on Bitcoin’s price action.
Remember when a #Bitcoin dip was well below 10k? Now bitcoin dips are comfortably above 10k. New baseline. Bitcoin is consolidating before its next breakout.
— Tyler Winklevoss (@tyler) September 5, 2020
Bitcoin’s Weekly Close is Hours Away
However, Bitcoin still one last hurdle this week to prove the $10,000 baseline theory by Mr. Winklevoss. This hurdle is in the form of a weekly close that is a few hours away. Bitcoin closing the week above the mentioned $10k level would be crucial in validating not only Mr. Winklevoss’s statement but also in restoring some sort of hope for bulls in the crypto-markets.
Additionally, a close above $10,000 would set the pace for the rest of September and possibly assist in Bitcoin still closing the third quarter of 2020 still in profits.