Bitcoin (BTC) price closed last week trading above crucial support levels, thus flipping October to a bullish outlook.
After beginning the month in a choppy mode, Bitcoin BTC $94 101 24h volatility: 0.8% Market cap: $1.87 T Vol. 24h: $24.99 B price is now on the cusp of confirming a new bullish trend in the coming weeks. According to the latest market data, Bitcoin price jumped nearly 3 percent in the last 24 hours to trade at about $63.5K on Monday during the early European session.
In the daily time frame, the flagship coin successfully rebounded from the 50 Moving Average (MA) and the support level of around $60.5K. As a result, Bitcoin price has formed the first higher high and higher low in the daily time frame, thus signaling a potential bullish trend in the near future.
From a technical standpoint, Bitcoin price now only needs to consistently close above the resistance level of around $66K to rally towards its all-time high (ATH) next.
However, veteran trader Peter Brandt has argued that unless Bitcoin price consistently closes above the July high of around $70K, the macro falling trend will persist. In such a scenario, Bitcoin price will likely retrace below $60K again and potentially to $40K before rebounding towards ATH.
Why is my TA instinct telling me that the most anticipated breakout is near? #Bitcoin
$71k is next, and $BTC is maintaining its bullish structure. pic.twitter.com/boo8Uma1Ib
— Mikybull 🐂Crypto (@MikybullCrypto) October 7, 2024
Bitcoin (BTC) Whales Undeterred
According to the latest market data, the supply of Bitcoin on centralized exchanges dropped by nearly 3K units in the last 24 hours and by over 48.8K in the past week. In the past seven months, the supply of Bitcoin on CEXs has dropped by more than 340K, fueled by the demand from the US spot BTC ETFs.
As of this report, the US spot BTC ETFs hold Bitcoins worth more than $57 billion, despite the notable cash outflows from Grayscale’s GBTC. Last week, the US spot BTC ETFs registered a net cash outflow of over $301 million, thus ending a three-week winning streak of nearly $2 billion in cash inflow.
The unstable geopolitical environment in the Middle East and between Russia and NATO significantly influenced last week’s poor performance of the US spot BTC ETFs.
Nonetheless, major Bitcoin investors, led by BlackRock, MARA Holdings, MicroStrategy, Fidelity Investments, and El Salvador, among others, continue to hold and add more in the long haul to hedge against global inflation.
Earlier today, Japanese company Metaplanet announced that it had acquired an additional 108 BTCs, worth over 6.7 million. As a result, the company now holds over 639 BTCs, worth over $40 million.
.@Metaplanet_JP has purchased an additional 108.786 #bitcoin for ¥1 billion at an average price of ¥9,192,359 per $BTC. As of October 7, Metaplanet holds ~639.503 bitcoin acquired for ¥5.965 billion at an average price of ¥9,326,856 per $BTC. #メタプラネット pic.twitter.com/1drY3HO77l
— Simon Gerovich (@gerovich) October 7, 2024
In the long haul, Bitcoin price will follow Gold and Silver prices in a bullish breakout. Ahead of the 2024 US general elections, Bitcoin price is expected to significantly benefit from increased demand as investors flee the dollar amid ongoing rate cuts.
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