KEY POINTS

  • Bitcoin was up 11% on Monday and currently trades at $6,700
  • The surge in BTCs price came on the heels of a Fed announcement of an open-ended asset purchase program
  • Monday's trading incited bullish sentiments for the top crypto with some analysts banking on further rallies

When it seems like a final blow is all that's left to lay the crypto market's most popular asset to its coffin, renewed buying had quashed the chances of that happening -- at least for the time being.

Bitcoin (BTC) buyers have bolstered the price to above the $5,400 support level and made room for an 11.56% uptick on Monday. The top crypto is starting this week on a positive note, opening from $5,800 and surging to almost a $1,000 gain at $6,700 as of press time.

The prior weeks were hellish for BTC with a 50% one-day drop on March 12 that took the price from $7,700 down to $3,800. Last week, Bitcoin tried to regain footing and had managed to stay above $6,000 by Thursday. Bitcoin bulls agonize at the prospects of the top crypto as of the moment when they were jumping for joy just two months ago.

Still, some analysts believe that the end is "not" nigh for Bitcoin and that the world's beloved cryptocurrency is poised to make more robust rallies in the coming months.

"Despite recent bitcoin sell-offs, we're still very bullish on the bitcoin price. Through our XanPool platform, which has over 20,000 transacting users across South East Asia—we currently see customers heavily buying, and very few customers selling," Jeffery Liu, CEO of the crypto processing company XanPool, told Forbes.

"This indicates that the recent price movement downwards was derivative market heavy," he added.

And by breaking the $6,300 level, Turr Demeester of Adamant Capital believes that it will be significant for BTC to make a rebound.

"Bitcoin back in the box, imo we're still in the re-accumulation phase. Looks messy technically, but the rebound is encouraging so far. $6,300 could be key resistance level before bull market can resume," tweeted Demeester.

The gains on Monday that incited these bullish sentiments also came on the heels of the U.S. Federal Reserve announcement of an open-ended asset purchase program to support markets. And although stocks turned lower, most cryptos traded on the positive side and also gold.

The chances of a Bitcoin rally may not be far gone, but it would take a great deal of optimism to shift the market's mood right now from extreme fear to greed before that could take place.