Our Today’s Bitcoin (BTC) analysis shows BTC saw a price surge climb past the $70,000 mark, buoyed by a significant increase in market demand and trading volume. Over the last 24 hours, Bitcoin has breached the $70,000 threshold and stabilized near $71,000.
Market pundits have observed a clear trend of optimism in the market for the premier cryptocurrency, Bitcoin. New technical patterns indicate that Bitcoin could be preparing for a more extended run-up. One can observe the rounding bottom formation in the short term along with the breakout from the flag pattern’s resistance line.
Bitcoin’s current path is that it has surpassed the $70,000 mark, retested and went beyond it with the formation of the morning star on the chart. This has taken it to the doorstep of the $71,500 peak attained during the period, past the 50% Fibonacci retracement level boosted by trading volumes.
ETFs Contribute to Large Inflows to BTC
Also, there has been a massive entry of ETFs in the Bitcoin market. On June 5, Bitcoin ETFs recorded $886 million inflows, which is the second highest daily inflow since the billion-dollar day on March 12.Such large capital inflows have also played a positive role in the market sentiment and confidence of the long-term investors.
Good morning fellow hodlers,
We had an absolute insane day of inflows yesterday with $886.6 million of inflows (that’s ~12 500 BTC)
Fidelity did $378.7 million, Blackrock did $274.4 million, Ark did $138.7 million and Bitwise 61 million.
Even $GBTC had inflows worth of $28.2… pic.twitter.com/KaDdmTrq9p
— WhalePanda (@WhalePanda) June 5, 2024
Besides the inflows, the Bitcoin derivatives market is also bullish, with the funding rate at 0. 02129407. This means that long-term holders are willing to pay a premium over potential short-sellers, which is a good sign of market sentiment. The open interest in Bitcoin futures has also increased by 15. It has also risen by 76% in the past week to $19. 4 billion, which also strengthens the bullish trend observed in the market behavior.
With Bitcoin trading above $70,000, the focus shifts to the next levels of resistance. Based on market trends, if Bitcoin is able to hold its current levels and investor interest remains strong, we could see it challenging the $72,000 mark in the near future. Nevertheless, traders should be careful of possible reversals as these levels are critical.
