Bitcoin price is still below $ 60,000 but it can’t push below $ 55,000. The tightening of the crypto market has been lengthy and arduous, but when $ 60,000 is finally broken, the crypto asset should hit what one analyst calls “escape speed”.
Here’s what the term means, and what this might look like after the Key Resistance eruption.
Bitcoin could hit the escape speed after breaking over $ 60,000
Bitcoin price movement has hit a critical impasse, either ready to explode to hundreds of thousands of dollars per coin, or on the verge of diving from current highs.
Resistance above $ 60,000 was the first zone to prove too strong for bulls to get through easily, causing momentum to weaken. The momentum indicators turned red for the first time in months, but the bears failed to bring prices down significantly.
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The stalemate has dropped in volume and volatility has dropped to its lowest level in months for the characteristically explosive crypto asset.
But when things finally break above $ 60,000, a cryptanalyst expects things to reach “escape speed”.
This is what escape velocity could look like in Bitcoin | Source: BTCUSD on TradingView.com
What the physics term played in Crypto would look like
According to Wikipedia, escape speed is a physical term that describes “the minimum speed that a free object without a drive needs to escape the influence of gravity on a massive body”. In simpler terms, it is the strength and speed it takes for an object to escape the gravitational pull of a planet and leave its atmosphere.
The analogy makes sense. “The escape speed increases with the mass of the body and falls with the distance of the escaping object from its center. The escape speed depends on how far the object has already traveled,” says a description.
Essentially, $ 60,000 is the center of the object, and resistance should weaken after passing it, requiring less total momentum to continue traveling towards the moon.
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This is because Bitcoin has received significant media attention above $ 50,000 where the coin is now weeks above it. Those waiting for a $ 60,000 breakout will buy with extreme force knowing that any correction has been blocked.
At the same time, those waiting for lower prices will find that it is not, and FOMO is returning to Bitcoin, making prices even easier to go up.
Between the barrage of new buyers getting in for the first time, sellers buying back after realizing their mistake, and more, this should cause the final parabolic phase of the Bitcoin bull run and the analyst’s “escape speed” to talk about.
Featured image from Deposit Photos, Charts from TradingView.com