Bitcoin Price Pumps Back to $21k as Whales Make Moves and Dollar Slides

cryptonews.com:

The bitcoin price is flying higher today up nearly 8.6% at $20,963 and it is pulling up the rest of the crypto complex.

Data site CoinGecko shows prices of the top 20 coins trading all strongly in the positive, showing gains of between 5% and 9%, as does the cryptonews.com price tracker across different exchanges. 

The Ethereum price, which has been catching a bid lately because of the Ethereum Merge upgrade, is flashing green for the week, up 6.6%. Today ETH has already traded as high as $1,714 and is at the time of writing priced at 1,699, up 4.8% in the past 24 hours.

Among other top alts, breakout meme coin Shiba Inu is advancing 9% to $0.00001324 while Layer 1 token Polkadot is finding favor priced at $7.77, 9% for the better.

Other gainers include OKB, the coin of the OKX exchange, is up 19% to $16.49, Ravencoin, a PoW coin likely to benefit from the Merge, is 21% higher on $0.044 and NFT ecsystem digital asset ApeCoin is trading 17% higher today at $5.25.

Total market cap is back above $1 trillion at $1,026 billion as traders shrug off bearish sentiment that was building up throughout this week.

Although the superstitious might link the rebound to the death of the British sovereign Queen Elizabeth II, the truth is likely more prosaic in that bitcoin was already touching  oversold territory, as the chart above shows on the RSI gauge.

Nevertheless, an oversold signal can lead unsuspecting traders into a value trap – put simply a price might be low for a very good reason. But as we argue below, this could be different.

To get a handle on whether we are witnessing a dead cat bounce of something more promising from a bullish perspective, as always in recent times, we need to first reference other asset classes, namely