Analysts Expect Bitcoin Price to Retest All-Time High

Cryptonews Economy Omar El-Sharif October 7, 2024

Analysts Expect Bitcoin Price to Retest All-Time High

On October 7, Bitcoin surged to $64,000, driven by a bullish sentiment among traders. Major purchasers like MetaPlanet are accumulating Bitcoin, paralleling trends seen with institutions such as MicroStrategy. Analyst Michael van de Poppe predicts a potential retest of Bitcoin’s all-time high of $73,800, contingent on overcoming key resistance levels. Future influences include Federal Reserve meeting minutes and inflation data which could impact Bitcoin’s trajectory.

In recent days, Bitcoin (BTC) has experienced a notable price increase, rising to an intraday high of $64,000 on October 7. This surge, amounting to a 6.62% increase from the previous week’s low, occurs amidst a backdrop of shifting market sentiments, despite declines in traditional U.S. equity indices such as the Dow Jones, S&P 500, and Nasdaq 100. Some analysts and investors maintain a bullish outlook for Bitcoin, with the Japanese company MetaPlanet emerging as a significant player by acquiring coins valued at approximately $6.7 million, bringing its total holdings to 530 BTC valued over $33 million. Reflecting on historical trends, MicroStrategy stands out as the largest holder of Bitcoin, possessing 252,220 coins. Other noteworthy Bitcoin holders include Marathon Digital, Riot Platforms, and Block (formerly known as Square). Prominent crypto analyst Michael van de Poppe has forecasted a bullish trajectory for Bitcoin, suggesting that it may retest its all-time high of $73,800. He anticipates the price will first retest $62,000, with a potential bounce to between $65,000 and $66,000. A breakout above this range could facilitate a retest of its previous peak. The recent price movements are further supported by a significant rise in futures open interest, which has reached over $34 billion, marking its highest level since October 1. A surge in open interest is typically viewed as a favorable indicator for the cryptocurrency’s prospects. The forthcoming week holds potential catalysts for Bitcoin’s price movements, particularly with the anticipated release of the Federal Reserve’s minutes on Wednesday and U.S. inflation data on Thursday. A continued decline in inflation could support a dovish stance from the Fed, which would positively influence Bitcoin and other higher-risk assets. Analyzing Bitcoin’s daily chart reveals strong resistance levels, specifically at $66,600, which the cryptocurrency needs to surpass. This resistance point is depicted by a trendline that has historically contained the peaks from various months. Notably, Bitcoin’s recent performance has breached both the 50-day and 200-day Exponential Moving Averages, suggesting increased probabilities for a bullish breakout. For further upward movement, Bitcoin must overcome the descending trendline and psychological resistance levels at $70,000 and $72,000.

Bitcoin, a leading cryptocurrency, has been closely monitored by analysts and investors alike due to its volatility and potential for significant price movements. The cryptocurrency market often reacts to broader economic indicators, including Federal Reserve policy changes and inflation data. The fluctuating price of Bitcoin is not only impacted by internal market dynamics but also by external economic factors, which create a complex landscape for investment strategies. As institutional interest in Bitcoin grows, the dynamics of supply and demand also play a crucial role in shaping its price.

In summary, Bitcoin’s recent price surge suggests a potential path toward retesting its all-time high, contingent upon surpassing key resistance levels and favorable economic indicators. Analyst insights and institutional buying patterns indicate sustained interest in the cryptocurrency. The upcoming Federal Reserve announcements and inflation data will likely contribute to Bitcoin’s price trajectory in the near term, emphasizing the interplay between market sentiment and economic conditions.

Original Source: crypto.news