Bitcoin Climbed Above $71,000
Bitcoin's rise continues this week. The major cryptocurrency has tested the $71,000 mark and is aiming for further growth.
Bitcoin has risen 6% in the last 24 hours. At the time of writing, the daily high was formed at $71,511. Other cryptocurrencies from the top 10 are also seeing growth.
Bitcoin's rise was influenced by several factors. First, a number of upbeat news stories launched Bitcoin's rally. Among them is the London Stock Exchange's decision to launch an exchange-traded note (ETN) market for Bitcoin and Ethereum by the end of May, which only confirms the growing adoption of cryptocurrencies in Europe.
Secondly, Coinglass recorded that 64,480 traders were liquidated in the last 24 hours, with cryptocurrency liquidations totaling $184 million. Bitcoin's open interest has also increased significantly over the same period.
I can't help but have the feeling that $BTC is trading like someone knows something.
— Byzantine General (@ByzGeneral) March 25, 2024
A billion $ in open interest got added in the past couple hours. It's mostly this leverage that pushed us higher I think. pic.twitter.com/RsTejtbQ8J
Third, analysts from CryptoQuant noticed that the Coinbase Premium gap yesterday turned positive again, indicating strong demand for Bitcoin ETFs. Since the US exchange holds about 90% of crypto fund assets, its performance is key in determining institutional interest. The funds saw net inflows of $15.4 million after five days of outflows.
Yesterday's ETF flows were positive once again after a negative week for $15.4 million.$GBTC had $350 million in outflows. Fidelity started picking up last week's slack with $261.8 million in inflows.
— WhalePanda (@WhalePanda) March 26, 2024
Blackrock only did $35 million.
Price moved from $65k to above $70k. A day… pic.twitter.com/HCNwa7L2p8
Meanwhile, Santiment noted that Bitcoin whales bought up $3.4 billion worth of the asset over the weekend. The growth in their wallets is having a positive impact on the market, especially ahead of the halving, which is three weeks away.
🐳📈 #Bitcoin has just caught traders off guard (as usual) with a huge rebound ascension to $70K. Why? Key #Bitcoin stakeholders had one of their single largest accumulation days in years.
— Santiment (@santimentfeed) March 25, 2024
🔼51,959 collective #Bitcoin were accumulated by wallets that hold between 10-10K $BTC on… pic.twitter.com/vT4fRUVYs7
From a technical perspective, Bitcoin broke above the descending parallel trend channel on the 4-hour chart and started its rally. The retest at the 70,000 mark only consolidated the bullish trend.
Source and Copyright © TradingView
The asset is now trading at the resistance level of $71,200. In the near term, Bitcoin may reach the nearest resistance level of $73,500. The key resistance is the mark of 75,000 dollars.
However, if the bulls fail to overcome the current resistance level, the asset may fall to the support levels of $70,000, $69,000 and $67,800.
This is not a one hundred percent statement. The cryptocurrency market is very volatile. Investors should be cautious when making decisions.
