1min read
Published on: Feb 27, 2024
#Bitcoin ETF
#Daily Brew
Following remarkable gains during the U.S. trading day on Monday, Bitcoin has finally broken the key resistance level of $53,080 through early Tuesday morning Asia hours – with the price reaching $57,000 for the very first time since November 2021.
The rally took off Monday morning in the U.S., with BTC surpassing the $53,000 mark also for the first time since November 2021.
Early Asia morning/U.S. evening witnessed the price taking out $55,000, $56,000, and $57,000 levels in the span of just a few minutes.
What is moving BTC’s price so suddenly?
Well, it’s nothing we haven’t seen before.
Bitcoin has been making a comeback for around 2 weeks, with its price reaching levels not seen in over two years.
It started off with the digital currency reaching the $50k on February 12th, and has been sustaining a certain range for approximately two weeks now.
Reflecting on the continued demand from spot Bitcoin ETFs, while simultaneously looking forward to the upcoming bitcoin halving taking place in April, there is reason for optimism about continuous gains.
Put simply, it’s all about the basic law of supply and demand.
With Bitcoin spot ETFs generating high demand, supply will be diminishing – what happens to the price then? Mathematically, it should continue to go up.
Now that the world’s biggest digital asset is making the headlines, we see markets responding.
The massive surge in BTC price comes on a day when the S&P 500 was trading in negative territory.
On Monday, February 26th, the index ended 0.5% in the negative while Bitcoin recorded an upward trajectory with a 10% gain.
What does this mean? This clearly shows that BTC and the broader crypto markets are not as dependent on equities anymore.
Historically speaking, a lack of significant correlation between cryptocurrency markets and stock markets has paved the way for the most substantial bull runs for both Bitcoin and altcoins.
Did you know? Bitcoin has demonstrated superior performance compared to traditional assets such as stocks and gold this year.
At time of writing, Bitcoin is trading at $56,146.
Source: BitDelta
February has always been positive for crypto markets in general, and Bitcoin most specifically.
Bitcoin is now expected to keep its momentum going, with traders eyeing the $60,000 mark as the halving approaches.
Will the world’s largest digital asset record a new ATH this year, if not soon?
This article is for informational purposes only and not intended as investment or financial advice. It contains opinions and speculations that are subject to change without notice.
The author and publisher disclaim any liability for decisions made based on the content of this article. Readers are advised to conduct their own research and consult a financial advisor before making investment decisions.
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