Last updated on May 31st, 2024 at 03:26 pm
Bitcoin is poised for a potential rally to new all-time highs if it can decisively surpass the crucial $67,500 resistance level, according to a May 20 report by Markus Thielen, head of research at 10x Research.
Thielen emphasized,
“A breakthrough above $67,500 could potentially lead to new all-time highs, a scenario that our Bitcoin ETF model predicts.”
The predictions come after Bitcoin made a big recovery above the $66,000 milestone. The world’s first cryptocurrency has gone up by over 7.3% in the last week, according to TradingView.
Thielen also noted that last week’s price recovery is a positive indicator for Bitcoin’s future price movements.
He mentioned,
“Breaking above $67,500 could potentially push Bitcoin to new all-time highs, as our Bitcoin ETF model suggests.”
Additionally, inflows into U.S. spot Bitcoin exchange-traded funds (ETFs) have remained robust, amassing over $200 million in net inflows for the second consecutive week, although this is a decrease from the previous week’s $413 million, according to Dune.
Institutional investment via ETFs has played a crucial role in Bitcoin’s recent surge. By mid-February, Bitcoin ETFs accounted for approximately 75% of new investments as Bitcoin exceeded $50,000.
Despite the optimistic outlook, Bitcoin faces significant resistance at the $67,500 mark. CoinGlass reports that a move above this level could liquidate nearly $300 million in leveraged short positions across all crypto exchanges.
On a broader timescale, Bitcoin has converted a key resistance level into support on the monthly chart, potentially indicating continued bullish momentum, according to a May 16 post by crypto analyst Rekt Capital. This shift occurred amid Tether’s minting of $1 billion in USDT on May 17, contributing to Bitcoin’s price climb from $27,000 to $73,000, as highlighted by Lookonchain.
According to BitInfoCharts, Tether’s USDT’s issuer, purchased 8,888 BTC on March 31st, valued at $618 million, making the stablecoin issuer the seventh-largest holder of Bitcoin globally.
Disclaimer: This report is intended solely for informational purposes and should not be considered trading or investment advice. Nothing herein should be construed as financial, legal, or tax advice. Trading or investing in cryptocurrencies carries a considerable risk of financial loss. Always conduct due diligence.
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