Bitcoin's Newest Price Record is $69,000. When It Hits?
Last night, the price of Bitcoin rose above $60,000 for the first time since 2021. The asset managed to set a new multi-week high near $64,000. Such a rapid growth caused the crypto community to wonder when the main cryptocurrency will reach its all-time high of $69,000.
Over the past 24 hours, Bitcoin has risen by 12%, reaching the $64,000 level, where it has set a new high for the past several weeks. This marks the largest percentage increase on a single day since October 23rd, 2022. Since the start of the year, Bitcoin's price has increased by 42%. As of this writing, Bitcoin is trading at $63,036.
Source and Copyright © TradingView
This current rally has brought back memories of the 2021 bull market, during which Bitcoin reached its all-time high at $69,000. With the asset now approaching those levels again, the cryptocurrency community is lost in speculation about when Bitcoin will be able to break past the $69,000 barrier once more. This impressive growth over a short period has attracted market participants, with the historical high being a target that could be reached at any moment.
The recent Bitcoin rally began with the approval of regulated Bitcoin exchange-traded funds (ETFs), which has led to an influx of new capital from investors seeking to speculate on the cryptocurrency. As of this writing, 11 large funds hold a combined total of 303,000 Bitcoin worth $18 billion, or 1.5% of the overall Bitcoin supply.
This week, activity in crypto funds has become more prominent. According to Eric Balchunas, a senior ETF analyst at Bloomberg, trading volumes have set new records almost daily, contributing positively to Bitcoin prices.
JEEZ: Only halfway through trading day and New Nine bitcoin ETFs have already broken their all time daily volume record w/ $2.6b. We got 4 btc ETFs in Top 20. $IBIT is #4 overall, it's gonna trade more today than in its first two wks combined. This is officially a craze. pic.twitter.com/Wqez1rKrCg
— Eric Balchunas (@EricBalchunas) February 28, 2024
Another significant factor in the Bitcoin rally is the upcoming halving event. The halving, which is scheduled to occur in less than two months, is a process where the number of newly minted coins is automatically reduced. This event occurs approximately every four years, and theoretically, it should drive up the price of Bitcoin by creating a greater scarcity of an already scarce currency. Historically, as the halving approaches, the Bitcoin rally has become more pronounced.
The influx of institutional investors into cryptocurrency funds and the recent halving of Bitcoin are the two major factors behind the dramatic growth of Bitcoin. The positive sentiment is supported by analysts' predictions of a more dovish economic cycle. Most analysts expect Bitcoin to reach the $69,000 level before the halving event, and an increasing number of investors have factored this event into their investment plans. Some analysts predict that Bitcoin could reach an all-time high by as early as March 2023.
Jan van Eck, the CEO of Van Eck, one of the earliest financial institutions to apply for Bitcoin exchange-traded funds (ETFs), compared Bitcoin to gold as he believes they are both moving in a similar direction. Van Eck believes that a new all-time high for Bitcoin could be reached around the end of 2024 (December).
Many investors and industry experts believe that the post-halving rally in Bitcoin's price will continue, leading the asset to reach the $100,000 to $120,000 range by the end of Q4 2024. Additionally, some believe that it was the introduction of Bitcoin exchange-traded funds (ETFs) that brought about passive growth, leading new investors to see Bitcoin as a stable store of value.
Analyst Peter Brandt has a more positive outlook, predicting that by September 2025, Bitcoin's value will be at least $200,000.
Bitcoin Update
— Peter Brandt (@PeterLBrandt) February 27, 2024
With the thrust above the upper boundary of the 15-month channel, the target for the current bull market cycle scheduled to end in Aug/Sep 2025 is being raised from $120,000 to $200,000. $BTC
A close below last week's low will nullify this interpretation pic.twitter.com/19ZXpAQW0v
From a technical perspective, Bitcoin recently formed a new level of support above $58,000 and was able to overcome a major resistance level at $60,000 during the past 24-hour period. The asset briefly reached the $64,000 level before pulling back to $62,000, but the $64,000 threshold is still considered a significant level of resistance. In the short term, the bullish trend has a goal of breaking through the $65,000 barrier. The main challenge for the bulls is nearing the $68,000 region. In the event that the bulls are unable to overcome the $62,500 level, the asset could potentially retrace to support levels at $60,800, $60,000, and $58,000.
This is not a one hundred percent statement. The cryptocurrency market is very volatile and unpredictable. Investors should keep in mind the importance of DYOR.
