Bitcoin grew sharply at the start of the trading week. The quote is approaching its local and all-time highs. At the same time, bears cannot break the barrier. A strong correction was expected during the entire bullish trend that started over a year ago from the $4,000 mark. However, it has not occurred yet. Nevertheless, a strong correction is still needed as the bullish trend is coming to an end. Despite this fact, bitcoin and other cryptocurrencies gain even more popularity worldwide. Thus, the Chicago Mercantile Exchange will launch a new bitcoin product on May 3 - MicroBitcoin futures. It will be one-tenth the size of a bitcoin. This type of contract will help market participants hedge risks and execute bitcoin trading strategies in an efficient and cost-effective way. Perhaps the project is also launched to attract retail investors. The thing is that BTC climbed to $60,000 and became less affordable. The new futures are aimed to meet retail investors' demand.
Meanwhile, PayPal will launch a new service that will allow customers make payments in Bitcoin, Bitcoin Cash, Ethereum, and Litecoin at all of its 29 million merchants in the coming months. Each PayPal transaction will convert cryptocurrency into fiat money to make purchases. "This is the first time you can seamlessly use cryptocurrencies in the same way as a credit card or a debit card inside your PayPal wallet," President and CEO Dan Schulman said. On top of that, the company will not charge transaction fees.
Anyway, right now, it is very important to keep all current investors and holders of bitcoin, as well as attract new ones who are ready to purchase BTC at $60,000 per coin, so that it can grow further. The concept of trading in any market is to buy low and sell high. That is why we have seen a decline in bullish sentiment in recent weeks. Only a few investors can buy bitcoin at current prices. In addition, the US economy is recovering fast from the COVID-19 pandemic. Investors may leave the crypto market and return to less risky assets. There have been a lot of rumors in the market lately.
Bitcoin has been on the verge of breaking the $52,300 barrier for several days. Bears were able to maintain the control of the market. As a result, the upward trend strengthened. The nearest target is seen at the high of $61,600. Anyway, bearish sentiment is fading. An influx of investors or a sharp drop in bitcoin supply in the merket is needed. Otherwise, the market will enter a strong correction. The key support level remains at $52,300.
