Bitcoin Can Break $12K Wtih PayPal Rumors
Bitcoin (BTC) coming to PayPal and Venmo may be just a rumor, but some of the cryptocurrency’s established figures are turning bullish.
As the news surfaced that the payment processor was allegedly planning crypto buying and selling for its 305 million users, BTC/USD surged to test its $9,600 resistance level.
Keiser: PayPal will drive “global hash war”
Though PayPal declined to confirm its plans, a wave of optimism has since flooded social media, with different figures welcoming the move while noting its irony.
“Slowly, then suddenly,” the @Bitcoin Twitter account summarized.
For RT host Max Keiser, the move seemed linked to competitive advantage — Square, the sister company of Twitter, introduced Bitcoin support with huge success last year.
“#Bitcoin’s built-in game theory strikes again. Paypal, seeing $SQ making a killing with BTC, is forced to take on BTC or suffer huge competitive consequences,” he tweeted.
“Global Hash War is coming!”
The sense of satisfaction among Bitcoin supporters may well be warranted. PayPal has made a name for itself in recent years as a crypto opponent, declining to embrace the idea of supporting it.
At the same time, technical problems and the pitfalls of being a fiat intermediary means that PayPal has actually become a subliminal advertisement for Bitcoin’s advantages. However, if the company starts offering Bitcoin, the same issues may affect new users.
As noted by developer Jameson Lopp, PayPal may extend its ability to freeze or isolate users and funds without notice to crypto wallets within accounts under its control. Another commentator stated that Square’s implementation is technically no different.
Everyone waits for $12,000 Bitcoin
In the meantime, the news has caused analysts to change their outlook on Bitcoin price action. A push above $9,600 increases the chances of five figures returning, at which point a breakout to $12,000 is already a strong possibility.
For well-known Twitter trader George, current levels offer the last chance for bears who want to short Bitcoin.
“If you’re a bear, this is where you short imo. Swept the highs right into daily supply. Clean invalidation level,” he said on Tuesday.
“I’m in a short here because I think if we start breaking above 9.9k – 10k’s we see 12k+.”
Analyst Michaël van de Poppe agrees, reiterating his argument that strength in Bitcoin is there for a push towards $12,000, should new resistance levels become support.
The current behavior reminds the “grinding” seen before Bitcoin went bullish in 2019, he added.