Bitcoin has surged to $67,782, approaching its three month high as institutional interest in the cryptocurrency reaches new heights. This rally coincides with record-breaking activity in Bitcoin futures and ETFs, signaling growing mainstream adoption.
Key developments driving Bitcoin's price:
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile app- Bitcoin futures open interest on CME has hit a record 172,430 BTC ($11.6 billion)
- US spot Bitcoin ETFs have seen over $1 billion in net inflows over the last three trading days
- BlackRock's iShares Bitcoin Trust (IBIT) led with $288.84 million in daily inflows
The chart shows a clear uptrend in Bitcoin's price since early October, coinciding with the surge in cumulative ETF flows. This correlation suggests that increased institutional access through ETFs is playing a significant role in driving Bitcoin's price action.
Active and direct market participants are driving CME futures growth, holding 85,623 BTC. This level of institutional involvement mirrors March 2024 when Bitcoin reached its previous all-time high. Increased activity is observed around the November futures expiry, coinciding with the US election.
Some analysts suggest improving odds for Donald Trump's re-election could create a favorable environment for Bitcoin. However, market participants should watch for potential volatility around the US election and any regulatory developments that could impact institutional involvement.
Bitcoin is currently only 9% away from its all-time high of approximately $73,800. The sustainability of this rally will likely depend on continued inflows into Bitcoin ETFs and futures markets, as well as broader macroeconomic factors affecting risk appetite.
As Bitcoin approaches its all-time high, traders and investors should remain vigilant for potential profit-taking or short-term corrections, while also considering the long-term implications of growing institutional adoption on Bitcoin's role in the global financial ecosystem.
Bitcoin (D1 interval)
Bitcoin is currently testing the upper Bollinger Band, and if it successfully breaks through, the price could retest the all-time high of $69,900. It has managed to stay above the 78.6% Fibonacci retracement level, which previously served as strong resistance. The RSI is showing strong bullish divergence with higher highs and lows and is nearing oversold territory. Historically, when the RSI approaches the 70 level, it has acted as a key resistance point, often leading to price corrections. However, if the RSI enters oversold territory, the price action could become very bullish, as seen in past rallies.
MACD is also signaling bullish divergence, further reinforcing the potential upward move. A failure to break above the 78.6% Fibonacci level could present an opportunity for bears to regain control.
Source: xStation
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
