As an analyst with over two decades of experience in the financial markets, I have witnessed numerous market cycles and have grown accustomed to reading between the lines of complex charts and data. The current state of Bitcoin, with its bullish outlook and surging price, presents an opportunity that I have not seen since the early days of the cryptocurrency revolution.
To start the third week of October, Bitcoin has been moving upwards, positively influencing other altcoins as well. The leading cryptocurrency, currently valued at approximately $1.35 trillion (fully diluted), and traded around $28.3 billion per day on average, experienced a 3% increase in the last 24 hours, trading at roughly $64,664 during the mid-London session on Monday, October 14.
Today’s surge in Bitcoin caused a 2% rise in the overall cryptocurrency market value, bringing it close to $2.35 billion. This increase led to approximately $200 million being withdrawn from the entire crypto market, with the majority of this coming from short sellers.
October’s Bullish Sentiment Signals Further Gains for Bitcoin
In simpler terms, after dipping below $59,000 last week, there’s a strong possibility that the price of Bitcoin will surge past $100,000 in the upcoming months. Despite experiencing a bearish phase for about seven months now, Bitcoin has set a reliable support level around $54,000.
To maintain a bullish trend, it’s crucial that the price of Bitcoin successfully transitions the current resistance zone (which is approximately between $64,500 and $66,500) into a new support level.
Based on the analysis by experienced trader Peter Brandt, for Bitcoin’s price to dismiss potential downward pressure around $48K, it needs to consistently close over the July peak of approximately $69,700. Moreover, in the past seven months, Bitcoin’s value has been creating lower troughs and peaks, even after the green light for US spot Bitcoin ETFs was given.
historically, bitcoin’s value tends to increase significantly during the last three months of the year. This is often boosted by the idea that October is a favorable month for bitcoin (known as “Uptober”). Given this pattern, bitcoin’s price might be primed for an upward trend, possibly reaching a new peak record.
#Bitcoin is heading for its Biggest Breakout 📈, $100k Closer and Sooner than you think 🚀
— Coin Signals (@CoinSignals_) October 14, 2024
Forces behind BTC Pump
Over the last three months, I’ve observed a gradual increase in the price of Bitcoin, which seems to be largely driven by growing institutional interest, particularly from MicroStrategy Inc (NASDAQ: MSTR). Interestingly, data from CoinGlass indicates that the quantity of Bitcoin available on centralized exchanges has been steadily decreasing at an accelerating rate in recent times.
Over the last five weeks, significant Bitcoin (BTC) purchases, totaling approximately $2 billion, have been made by issuers of U.S. spot Bitcoin exchange-traded funds (ETFs). This has significantly reduced the selling pressure stemming from Bitcoin miners.
Previously discussed by Coinspeaker, it’s expected that the price of Bitcoin will follow a similar upward trend as gold’s bullish surge, influencing other precious metals and significant stock markets in a similar manner.
1) The cryptocurrency market is reacting to the latest Federal Reserve rate reduction, fueling an intensifying global economic transition. Moreover, the escalating political tension in the Middle East and the standoff between NATO and Russia are also contributing factors. Consequently, the interest in Bitcoin and other digital currencies is expected to keep increasing.
As a researcher, I find myself observing with great interest as we approach the three-week mark until the 2024 US election. Historically, this period has been associated with a surge in optimism within the cryptocurrency market, often leading to a bullish trend.
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2024-10-14 13:03