Bitcoin broke the $5000 barrier on April 5 and apart from a quick trading blip late April 6, it never returned. This morning, BTC is hovering around $5200 after testing the $5300 barrier as Helen Partz reports in Cointelegraph this morning:
“The largest cryptocurrency, Bitcoin, has continued to climb today, with its price reaching as high as $5,315 earlier in the day,” Partz writes. “Having continued hitting multi-month highs, Bitcoin is up 24.4 percent over the past 7 days.”
Partz also looks at Ethereum gains, where that cryptocurrency is nearing $180 – a four month high. Generally speaking, traders have seen Bitcoin and Ethereum gains rise together along with other green spaces in baskets of smaller cryptocurrencies.
Around this news, you have various types of context – for instance, the South Koreans’ effort to puzzle out the place of cryptocurrency in their economy, and the U.S. Securities and Exchange Commission trying to figure out how to regulate various types of coins. Then you have private sector individuals like Jack Dorsey of Twitter fame raking in Bitcoin by the truckload, according to recent reports.
“In February, Dorsey revealed that the sole crypto he holds is Bitcoin,” wrote Cointelegraph’s Ana Alexandre March 7. “When asked about the particular features of Bitcoin that excite Dorsey the most, the Bitcoin bull again pointed at the cryptocurrency’s potential to become a global currency.”
Amidst this interesting chaos, it can be hard to figure out how to proceed with cryptocurrencies. One time-honored lesson is to buy on the dip, or wait for a good entry point – so traders have a philosophical decision to make here.
Since Bitcoin has spiraled up around $1300 in a few weeks, it now seems that the doldrums that we encountered late last year and directly after New Year’s Day were a good entry point, and that by comparison, today’s entry point is somewhat less attractive. However, if you’re with Dorsey and that crowd who believe that Bitcoin or Ethereum has a lot further to go, now may be your chance to lock in portfolio positions.