Major crypto analyst and trader Michael van de Poppe took to X app (previously called Twitter) to share with his followers a long read with his thoughts on what has been pushing the Bitcoin price up since yesterday.
He believes that the BTC correction might be over now if Bitcoin manages to hold above $27,000.
"Bitcoin's broken out of the tiny range and needs to stay above it"
Poppe tweeted that if Bitcoin manages to stay above $27,000 and can thus omit one more massive liquidation of crypto across exchanges, this may be a confirmation that the correction is over and the flagship crypto is set to target new highs.
The breakout took place on Tuesday after the court decision in the case of Grayscale against the SEC related to the conversion of its Bitcoin Trust into a BTC ETF was announced — Grayscale beat the regulator. This does not mean, however, the emergence of the spot Bitcoin ETF.
Still, it was one of the major drivers that pushed the Bitcoin price up yesterday. According to Poppe, there are some other important factors that have been fueling the current rise of Bitcoin.
The #Bitcoin price broke above $27,000. Is the correction over?— Michaël van de Poppe (@CryptoMichNL) August 30, 2023
We've broken out of the tiny range and we need to stay above to avoid another liquidation cascade.
If we do, we're confirming that the correction is over and that we're going to target new highs. 👇… pic.twitter.com/KCqqsN3kVD
Here's what's also pushing Bitcoin up
Per the analyst, the supplementary drivers of the Bitcoin price this time included the X app gaining another license necessary for conducting crypto payments in another U.S. state.
Aside from that, Bitcoin benefited from the employment report coming in "with a massive miss on the downside" and the consumer confidence index staying at the lowest level in a while compared to its numbers during a recession.
As a reaction to these factors, the U.S. dollar dropped, yields went down slightly, and gold and silver prices went up.
Earlier, Poppe tweeted that gold and Bitcoin are currently moving alongside each other. He believes that should the gold price begin to move upward, Bitcoin may go level with it and then outperform it.
"Era of safe haven assets is among us"
The analyst reminded his X audience that when the first gold ETF was launched in 2003, the gold price skyrocketed. Besides, it was the time when this precious metal turned into a hedge. Now, it may be Bitcoin's turn to take gold's place, Poppe wrote.