Reason why Analysts expect strong Bitcoin breakout

There are two reasons why analyst expect a strong Bitcoin breakout after a week of consolidations. The reasons are as follows:

Bitcoin printing clear breakout technically 

After a strong consolidation last week, Bitcoin finally started rising higher. The current trading price of the cryptocurrency is $ 36,000. This is the coin’s highest price in a few weeks since it dropped from $42,000 to $30,000 in early January this year.

Bitcoin is up 2% in the past 24 hours as it starts to trend higher.

Analysts assume that this price trend will break further in the next few days.

A well-known crypto-assets analyst recently shared the chart below. The graph shows that Bitcoin broke two major resistance levels created by the highs earlier this year. Bitcoin Jack, the analyst who shared the chart, wrote:

“Pending daily close this is bulls scoring one point closer to a homerun.”

Chart of BTC’s price action over the past

The analyst has a good track record of analyzing the space. He correctly predicted that Bitcoin would experience a V-shaped reversal by March 2020 and return to the $10,000 area by June. He also accurately predicted further breakouts in the second half of last year.

MicroStrategy effect

The MicroStrategy effect can also increase BTC.

The company will host an online event in the coming days to discuss how global companies are integrating Bitcoin into their business, be it from a financial investment perspective or a payment perspective. The CEO Michael Saylor said on the matter:

“If you are interested in the legal considerations firms face while integrating #Bitcoin into their corporate strategy, you are not alone. We have professionals from more than 1400 firms joining us tomorrow for this discussion. There is still time for your legal team to attend.”

He previously stated that thousands of executives will be attending this event:

“We’re going to have thousands of executives, officers…directors, & advisors of corporations coming together in the first week of February. They all want to figure out how to plug #bitcoin into their balance sheet or their P&L…We’re going to open source it.”

This event can lead the traditional financial world to allocate billions of dollars to cryptocurrencies.