Bitcoin hit an all-time high of $67K before starting to come under selling pressure. Now, the coin is adding 1% over 24 hours and is trading around $64.5K. The first cryptocurrency's dominance index halted its growth, as demand for BTC activated a surge in demand for altcoins as well.
The total capitalisation of the crypto market grew by $100bn over the last 24 hours, eclipsing $2.63trn. All Bitcoins are now worth $1.2trn.
A rather interesting development is in RSI on daily charts, which shows the first signs that the rally is losing momentum, hovering on the edge of overbought territory. The Crypto Fear & Greed Index is in the "extreme greed" area at 84.
The bitcoin price was predominantly pushed up by expectations that the approval of a Bitcoin ETF in the US would attract even more capital to the crypto market.
The overall increase in appetite for risk assets (like BTC) among investors over the past month and a half is also worth noting. This is not surprising, as the dollar is under pressure, US stocks are near all-time highs (which means a reversal is coming), and Chinese tech giants are recovering from their drop. Against this backdrop, bitcoin can be seen almost as a modern global risk demand indicator. It is currently enjoying high optimism, having added over 60% to the lows of late September.
Since Thursday morning, we have seen a pullback from its highs, but this is only due to speculators switching back to buying altcoins. Such an environment allows us to expect further strengthening of the first cryptocurrency. So far, we have only seen a price bounce on the highs. It is likely that capital inflows into the new ETF are not yet fully incorporated into the BTC purchase price.
It is worth realising that we have not yet seen a wave of FOMO. The technical analysis suggests that without any significant fundamental headwinds, bitcoin has the potential to grow to the area of 92-100K. Judging by the amplitude of the previous ascent, it may take 3-4 months to reach these targets. However, no one can predict how events will unfold.
Trade Responsibly. CFDs and Spread Betting are complex instruments and come with a high risk of losing money rapidly due to leverage. 77.37% of retail investor accounts lose money when trading CFDs and Spread Betting with this provider. The Analysts' opinions are for informational purposes only and should not be considered as a recommendation or trading advice.
Recommended Content
Editors’ Picks
Trump-inspired memecoin MAGA shows bullish on-chain metrics ahead of US elections
MAGA trades slightly down to around $3.4 on Tuesday after rallying more than 20% since Sunday. The former President Donald Trump-based memecoin is poised for further gains as daily active addresses and network growth metrics rise, signaling increased network usage and adoption.
Bitcoin ETFs beat Gold ETFs with 65% gain since launch
Bitcoin ETFs have reshaped the digital asset investment landscape since their approval in January. Their total assets under management climbed over $70 billion during the weekend, placing them ahead of other investment products, including gold.
XRP eyes 10% rally amid relisting across crypto exchanges and growing institutional demand
Ripple's XRP is trading at $0.5050 up slightly by 0.2% in the past 24 hours as it struggles to sustain a move above a key symmetry triangle resistance. Meanwhile, in its recently released Q3 report, Ripple noted the rising listing and relisting of XRP across crypto exchanges and global platforms.
Ethereum Price Forecast: ETH struggles below $2,500 amid State of Michigan pension fund investment in ETH ETF
Ethereum is trading near $2,420, down about 1% on Monday, but could bounce off a key descending trendline close to the $2,258 historically high demand zone. Meanwhile, the State of Michigan pension fund revealed an investment of $11 million in ETH exchange-traded funds.
Bitcoin: New all-time high at $78,900 looks feasible
Bitcoin price declines over 2% this week, but the bounce from a key technical level on the weekly chart signals chances of hitting a new all-time high in the short term. US spot Bitcoin ETFs posted $596 million in inflows until Thursday despite the increased profit-taking activity.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.