Bitcoin (BTC) Price Poised for a Resurgence to Reach New All-Time Highs; Here Are the Leading Factors
Bitcoin Price Consolidates Below $64k, Institutional Demand Could Trigger Crypto Rebound
Bitcoin’s price has been consolidating below the $64k level for over two weeks after the fourth halving event. However, there is anticipation of a potential rebound in the cryptocurrency market due to heightened demand from institutional investors.
Institutional investors have shown increased interest in Bitcoin following the recent approval of a spot BTC ETF in Hong Kong. This has led many crypto traders, including CryptoCapo, to believe that a rebound is on the horizon.
From a technical standpoint, Bitcoin’s price has been forming an inverted head and shoulder pattern, supported by a bullish divergence on the Relative Strength Index (RSI). Glassnode, a market analysis firm, has revealed that the ongoing macro Bitcoin uptrend is the most resilient in its entire history.
Despite a correction of -20.3% from its all-time high of $73k, which is the deepest correction on a closing basis since the FTX lows in November 2022, the macro uptrend of Bitcoin remains strong.
PlanB, a popular crypto analyst, believes that Bitcoin’s price is on the verge of entering the parabolic phase in the coming months. Based on the stock-to-flow model (S2F), PlanB has previously predicted that Bitcoin’s price could reach at least $300,000 in this bull cycle, with a high chance of going even higher.
In the political landscape, there are differing views on cryptocurrencies, particularly altcoins, between the top US presidential contenders, Joe Biden and Donald Trump. The US House of Representatives recently voted to approve a resolution against the SEC’s guidance that banks should be discouraged from holding digital assets. While President Biden has vowed to veto the bill, former President Trump has promised to support the crypto market if reelected.
Despite the political differences, the demand for Bitcoin remains high as institutional investors seek alternatives to the highly inflationary fiat market.
Tags: Bitcoin