🎈 Up Big Today: Find today's biggest gainers with our free screenerTry Stock Screener

Bitcoin: Key Resistance at $65k Poses the Next Challenge Before Run to ATH

Published 25/09/2024, 08:28
BLK
-
BTC/USD
-
BTC/USD
-

After a sluggish start to the year, Bitcoin has surged more than 15% in the past two weeks, approaching the key local resistance at $65k.

Earlier in the year, analysts were optimistic, predicting that the crypto would hit $100k, fueled by the launch of Bitcoin ETFs.

However, a broad correction over recent months has kept prices in a downward channel. Despite this, the long-term trend remains intact, favoring demand both technically and fundamentally.

Historically, Bitcoin tends to rally 150-160 days after a halving, and we're now in that window. The latest price action aligns perfectly with this pattern.

Investors Focus on China and the Fed

After the Fed's first jumbo cut, Investors are now increasingly optimistic about yet another 50 bp cut, a move that could lift various asset classes, including metals, stocks, and digital currencies like Bitcoin.

Meanwhile, China’s central bank is loosening its monetary policy to boost economic growth, cutting the reserve requirement ratio by 50 basis points to inject $142 billion into the economy.

These macroeconomic shifts create an ideal environment for risk assets, including Bitcoin, to thrive.

SEC Approves Bitcoin ETF Options

This week, the SEC approved options for Bitcoin ETFs, a significant move that could boost Bitcoin’s liquidity and increase its appeal to institutional investors.

Cryptos - Total Liquidity

BlackRock (NYSE:BLK), a global leader in asset management, spearheaded the application. With increased liquidity and growing confidence in Bitcoin, this approval could pave the way for more cryptocurrency investment opportunities in the future.

Bitcoin: Technical View

Bitcoin’s recent rally has pushed it towards the $64,000-$65,000 resistance zone, where a local deceleration is forming.

BTC Price Chart

If the crypto can break through this level, the next target lies near the all-time highs of $73k-$74k. However, a pullback below $60k could lead to consolidation, with a risk of retesting the $50k area.

Bitcoin’s price action is at a pivotal moment - investors are watching closely for the next breakout or correction.

***

Disclaimer: This article is written for informational purposes only. It is not intended to encourage the purchase of assets in any way, nor does it constitute a solicitation, offer, recommendation or suggestion to invest. I would like to remind you that all assets are evaluated from multiple perspectives and are highly risky, so any investment decision and the associated risk is at the investor's own risk. We also do not provide any investment advisory services. We will never contact you to offer investment or advisory services.

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.