Leading cryptocurrency bitcoin is looking to claw back to that $40,000 mark again after reaching an all-time high last year before falling amid a global sell-off.
From a charts perspective, bitcoin is looking to make a bounce following a bout of heavy downward pressure from sellers. Whether the bleeding has stopped remains to be seen, but signs of recovery are starting to reveal themselves.
“The Bitcoin (”BTC":https://cointelegraph.com/bitcoin-price) daily price chart seems to be making a steady recovery pattern, but some concerning indicators are coming from derivatives markets," Coin Telegraph reports. “At the moment, the futures and options markets are showing a lack of confidence from Bitcoin pro traders, but there’s a positive spin to the data.”
One big question is whether the price can regain its glory from last November when it reached $69,000. Trading activity shows that the last big termination position on a long futures contract was on January 23, so big sell-offs could be behind us.
“This partially explains why Bitcoin’s recovery was relatively tranquil over the past week,” Coin Telegraph says. “Still, the market is nowhere near being out of the water, considering that BTC is currently trading 44% below the $69,000 all-time high.”
That said, the road back to $69,000 could be a long one. Prospective investors can look to other options if they have a bullish notion rather than investing in bitcoin directly on digital currency exchanges.
Getting BTC Exposure Without the Heavy Volatility
One way to get exposure to the leading cryptocurrency without the heavy volatility is to look at bitcoin futures. As opposed to directly investing in the cryptocurrency itself, another way to get alternate exposure to bitcoin is to play its future price increases with the ProShares Bitcoin ETF (BITO ).
BITO certainly played a large role in catapulting bitcoin to its all-time high in November with it becoming the first U.S. exchange traded fund (ETF) to focus on the leading cryptocurrency. While crypto purists may be skeptical about a futures ETF, it can work for investors looking for alternate exposure as the traditional financial markets embrace crypto more.
For more news, information, and strategy, visit the Crypto Channel.