Bitcoin hits a high of $ 61,589 – here’s why and what’s next

Ki Young Ju, CEO of data analytics company CryptoQuant, reveals the driving force behind the current Bitcoin bull run.

Brothers explain that whales are driving the largest crypto asset by market cap rather than short squeezer.

“This rally was driven by whale buying, not short squeeze. Market orders for the massive purchase of BTC on derivatives exchanges do not come from short liquidations. “

Source: Ki Young Ju / Twitter

A Bitcoin whale is any hodler who holds more than 1,000 BTC. A short squeeze refers to an explosion in the price of an asset as a result of selling short beyond the limit.

According to the CryptoQuant chart, BTC short positions have decreased in recent months.

“It suggests that:

1. No large short positions liquidated so far

2. Whales have tried long positions since the price slump. “

Bitcoin hit a high of $ 61,589 in the past 24 hours before falling slightly to $ 61,454 at press time, up 40.8% over the past two weeks.

Big breakout is coming

According to analyst Rekt Capital, Move Bitcoin’s price action on October 15 led it past a large area of ​​resistance, which is the final hurdle in preventing the price from breaking out into uncharted territory.

Source: Twitter

If BTC is able to close above this level on a weekly basis, there is the potential for an “exponential rise” as pricing will not be hampered by previously established resistance areas while the bulls will attempt to make calls at $ 100,000 for BTC.

Konstantin Shugla, CEO and co-founder of Finery Markets, gives an insight into the long-term development of the crypto ecosystem, who pointed out that “the crypto market is on the same growth path as other traditional asset classes”.

According to Shugla, the growth of the sector is attracting “a new level of institutional mass adoption that no company can ignore” infrastructure / regulatory risks. “

“That will create a lot of volume and arbitrage opportunities for the underlying instruments. I assume that both historic records for price and volume will be achieved in October and November. “

ATH “just a matter of time”

For a more in-depth technical view of recent price action, trader Pentoshi has released the following chart outlining key areas of support and resistance.

BTC / USD 3-day chart. Source: Twitter

According to Pentoshi, Bitcoin has now “removed the lower macro high since the high and started to make lower lows and lows” and is now forming a “new trend towards higher highs and higher lows”.

“It is only a matter of time before an all-time high is reached with this structure.”

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Annie

Bitcoin magazine

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