Coinspeaker
Bitcoin Price Hitting Unprecedented Heights Globally, BTC Over $65K
Bitcoin has once again captured the spotlight with its remarkable journey towards and beyond the $65,000 milestone, setting new records against the euro and pound and approaching its all-time high in US dollar terms.
Market Dynamics and Trading Volume Insights
A significant shift in Bitcoin’s trading patterns has been observed, with weekend trading volumes experiencing a notable decline. Since the start of 2024, only 13% of Bitcoin transactions took place on Saturdays and Sundays, a decrease from 17% in the previous year and down from 24% in 2018. This trend suggests a maturation of the Bitcoin market, with institutional investors playing a more prominent role and adhering to traditional trading hours.
Additionally, the recent price surge has led to a spike in liquidations of leveraged Bitcoin positions, particularly short positions. Over $80 million in Bitcoin positions were liquidated, with the majority being shorted, according to CoinGlass data. Moreover, $160 million worth of short positions were liquidated in the last 24 hours, while the liquidation across centralized exchanges is excluded at $251 million.
🚀🚀🚀
CME #Bitcoin open interest hit a record high of $8.66billion.
👉https://t.co/b1RbJ1A35P pic.twitter.com/ZzhrL31N2p
— CoinGlass (@coinglass_com) March 4, 2024
On the other hand, the open interest in Bitcoin options for this month’s expiry is on a steady clip. The OI has surpassed $30 billion, with an increase of 10%. The anticipation of Bitcoin halving can be behind the high amount of value sitting in these contracts.
The Role of Global Economic Factors
The strength of the US dollar against major currencies has been a critical factor in Bitcoin’s performance. The Dollar Index, which tracks the US currency against six major counterparts, showed an upward trend, gaining 2.7% throughout January and February 2023. This development has implications for Bitcoin’s value, as the digital currency assets have new benchmarks in euros and pounds.
A recent market analysis by Grayscale indicates that US inflation has been on a consistent decline since the year’s start, leading to an adjustment in market expectations towards anticipating higher inflation rates. “In general, the prevailing elevated US interest rates tend to bolster the dollar’s value, which might adversely affect Bitcoin,” noted the analysts.
Bitcoin (BTC) Price Analysis
Photo: TradingView
On the chart, Bitcoin has surged by 54% since the start of 2024.
At the time of writing, the marked price of Bitcoin was $65,108.84. The RSI (Relative Strength Index) at the bottom of the chart is an oscillator that measures the speed and change of price movements. The RSI value is around 76.94, which typically indicates overbought conditions and could suggest a potential retracement or price pullback might be imminent, as values above 70 are considered overbought.
The price is trading above the Ichimoku Cloud, which suggests a bullish trend. The green portion of the cloud, known as the Kumo, can act as a support area for prices in the future. The blue line is likely the Kijun-Sen, which also provides support and indicates the trend’s momentum.
The recent price action shows a strong uptrend, with Bitcoin’s price rising steadily and staying above the Ichimoku Cloud. However, traders would need to watch if the RSI continues to remain in the overbought region, as it could lead to a potential reversal or consolidation in the near term.
Bitcoin Price Hitting Unprecedented Heights Globally, BTC Over $65K
