The weekly trade kicked off with a significant bullish momentum, propelling the Bitcoin price above the horizontal consolidation range. This surge in price indicates a high level of bullish sentiment among market participants, with the target for the week set at $100K.
Why is the Bitcoin Price Rising?
The recent surge in Bitcoin’s price can be attributed to a variety of factors. Firstly, the easing of the trade tensions between the US and China has had a positive impact on the market. Additionally, the appointment of Paul Atkins as the new SEC chair and President Trump’s confirmation that Jerome Powell will remain as the Fed Chair have also contributed to the bullish sentiment. As a result, Bitcoin has now become the fifth-largest asset, surpassing Google in market capitalization.
The Global M2 money supply has reached an all-time high, and Bitcoin’s price tends to closely follow this metric. This has led to speculation that a new all-time high for Bitcoin may be on the horizon. Furthermore, growing certainty in the market has bolstered optimism among institutional investors, as evidenced by the record daily inflow into Bitcoin ETFs yesterday. The decoupling of Bitcoin from US stocks and its alignment with Gold have likely played a significant role in institutional accumulation.
How High Can Bitcoin (BTC) Price Go?
Despite facing some bearish pressure, Bitcoin’s price has maintained a strong upward trend. The price has surged above a key resistance level, signaling a shift from bearish to bullish sentiment. While technical indicators have yet to turn decisively bullish, there are signs pointing towards a potential bull run in the near future.
The price recently broke above $88,500, with a daily close above this level indicating the start of a new bull run. The MACD levels are on the verge of a bullish crossover, while the Chaikin Money Flow (CMF) indicator is showing signs of a potential bullish divergence and an increase from 0. These indicators suggest that money inflow into Bitcoin is increasing, which could have a positive impact on the price in the days to come.