Bitcoin has begun to hold above significant resistance at $65,000, with experts believing that the seven-month consolidation phase is coming to an end. Last week’s rally could serve as a precursor to a resumption of the BTC bull market starting in 2023.
Similar price movements of Bitcoin
Vettle Lund, a senior analyst at K33 Research, stated that the current crypto market structure is very similar to a year ago. Lund noted that there was a sharp increase in open interest for futures due to ETH being pegged to BTC and more aggressive behavior from futures traders.
K33 Research – Vettle Lund: “The current crypto market structure is very similar to a year ago.”
Impact of Halving and Elections on BTC
Popular crypto analyst Intuito noted that Bitcoin has gone through four halvings and elections in the past 12 years. Typically, BTC prices remain stagnant after halvings, while parabolic price increases typically follow elections. Intuito seems optimistic that the crypto market will respond with a parabolic move on November 5 following a potential Trump victory in the presidential election.
Bitcoin Seasonality
Despite past volatility, Bitcoin's estimated leverage remains low. Chain analyst Axel Adler Jr. said leverage was at 32%, warning that liquidation could occur if it exceeds 55%.
Axel Adler Jr.: “The leverage is 32%. Liquidation may be triggered if it exceeds 55%.”
Overall, while the long-term outlook for Bitcoin prices remains bullish, the short-term view is turning bullish amid uncertainty. It is important to analyze how the latest Bitcoin price movements impact this change.
The daily Bitcoin chart shows the formation of recent higher lows and higher highs, signaling a positive shift in market structure in favor of buyers. BTC is aiming for the psychological level of $70,000, potentially surpassing the all-time high of $73,777. However, if BTC fails to hold the $65,000 support level, a retracement to the lower end of the current consolidation could occur.