Bitcoin Spiking Above $10,300 Sends Google Search Volumes Exploding
Bitcoin saw a massive movement today that led the cryptocurrency to reclaim its position within the coveted five-figure price region, with the latest rally allowing BTC to set fresh 2020 highs at $10,400.
One byproduct of this rally has been an explosive surge in search volumes for the phrase “buy Bitcoin,” which is an indicator that retail investors may be on the brink of “fomoing” back into the nascent market.
The last time this occurred was in 2017, when BTC saw a meteoric rise that allowed it to climb to its all-time highs of nearly $20,000 – a movement that was almost entirely fueled by neophyte retail investors rushing into the markets at an insanely rapid pace.
Bitcoin’s 2020 Rally Revitalizes Investor Sentiment
Bitcoin saw some massive upwards momentum today that came about after the cryptocurrency dipped as low as $9,700 yesterday, leading the aggregated crypto market to similarly see some downside.
Although the break below $10,000 led many investors and analysts alike to grow incredibly bearish on the cryptocurrency, today’s violent rally back into the five-figure region seems to suggest that this may have been a bear trap.
Analysts do believe that Bitcoin’s upcoming mining rewards halving is likely the primary catalyst behind this recent bull-favoring volatility, with the event’s historical precedence leading investors to treat it as being bullish.
Financial Survivalism, a prominent cryptocurrency analyst on Twitter, explained in a recent tweet that he believes the halving is a “buy the hype, sell the news” event that could result in a BTC dip after it occurs.
“Buy the hype, sell the news, buy the dip,” he stated.
— Financial Survivalism (@Sawcruhteez) February 11, 2020
Are the Flood Gates About to Open to Retail Investors?
One factor that could help significantly extend this rally is the possibility that retail investors are about to flood into BTC.
A key indicator that elucidates that this is a strong possibility is the fact that Google Trends data for the search phrase “buy Bitcoin” is going parabolic.
Alistair Milne, the CIO of the Altana Digital Currency Fund, spoke about this phenomenon in a recent tweet, while referencing the chart seen below.
“Google trends data for ‘buy Bitcoin’ (12 month range).”
Google trends data for ‘buy Bitcoin’
(12 month range) pic.twitter.com/uj2lXBl3Ci
— Alistair Milne (@alistairmilne) February 11, 2020
If investors do begin flooding into the markets in the hopes that Bitcoin goes on another parabolic journey, they could be the kindling that helps fuel this type of rally.
Couple that with the bullish narrative surrounding a pre-halving rally, and you have a recipe for extreme bullishness over the coming few months.
Featured image from Shutterstock.