Since Bitcoin crashed a few days ago, it has been striving to form a basis for the immediate move.

Several analysts profess that Bitcoin is currently showing weakness. However, in recent times, a renowned trader known as LightCrypto provided an extensive explanation regarding the reason he is buying Bitcoin near $8.5k to $8.6k level.

/1 At the risk of looking like a fool by Monday, I want to make the case for why I am a buyer of Bitcoin at the $8,500-$8,600 level, near 20% off the recent local high. In a sea of shorts frothing about a continued plunge, it seems like the contrarian position to adopt. pic.twitter.com/9A1zKxKtS7 — light (@LightCrypto) February 28, 2020

He noted his stance on Bitcoin, remarking that the cryptocurrency has sustained amazingly well as gold declined below $1,600 after moving close to $1,700.

According to the analyst, Gold’s fall is another sign of an emotional and capitulatory macro environment, while Bitcoin’s effective flatlining shows that sellers still support the cryptocurrency.

/3 Gold is down the most since 2013, possibly sold to cover margin calls – this is a further sign of an emotional and capitulatory macro environment. In all of this, Bitcoin has held, losing less on the day than gold(!). pic.twitter.com/EDcIYNNCyQ — light (@LightCrypto) February 28, 2020

Light further highlighted Bitcoin’s bid-side demand:

“The tuned-in market observer has also seen tremendous absorption of chunky multi-million dollar market sells into a confluence of potential support levels. This sort of spasticated action with price not budging downwards is indicative of a large, patient latent buying interest.”

His technical outlook seems fairly optimistic and it has been emphasized by a growing pace of bullish fundamental factors for Bitcoin. He noted the factors that make the cryptocurrency inherently bullish: the imminent nature of the block reward halving in May 2020, the possible interest rate cuts from central banks worldwide, as well as the fiscal stimuli being promised by the governments globally.

There are other analysts with optimism regarding these bubbling cryptocurrency markets. Josh Olszewicz noted that there is correlation between surges in the stock market’s volatility and Bitcoin bottoms.

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