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Here’s why Bitcoin is going up today
Bitcoin price saw a recovery today after witnessing gloomy trading over the past 24 hours. The price of BTC has fallen below the $65,000 mark since yesterday, reflecting the increased volatility in the market.
Meanwhile, in this context, market participants are looking for the potential reasons behind the recent increase in the price of Bitcoin.
Why is the price of Bitcoin increasing?
A flurry of factors could have bolstered the gains Bitcoin Today. Here we explore some of the main reasons that may have contributed to the gains.
Bitcoin Whale Accumulation Boosts Sentiment
Recent fluctuations in the price of Bitcoin have provided a buying opportunity BTC whales. In particular, some investors strategically purchase assets during times of market turbulence to achieve maximum profit. Given this sentiment, along with the long-term bullish outlook for Bitcoin’s price, several market observers are interpreting the recent decline as a buying opportunity.
For example, a recent report from prominent on-chain transaction tracking platform, Lookonchain, showed that a smart whale purchased approximately $400 million worth of BTC. According to the report, a smart whale purchased 6,070 BTC worth $395 million during the recent market decline.
Source: Lookonchain,
Notably, this same whale previously purchased 41,000 BTC worth $794 million during the 2022 bear market at an average price of $19,000. When the market recovered, he sold 37,000 BTC for $1.74 billion at an average price of $46.8k per BTC between the 2023 and 2024 bull market cycle, making profits of around $1 billion.
Notably, the recent $400 million accumulation marks its first purchase in over a year and a half.
Read also: Bitcoin Unrealized Profits Rise Over 120%, BTC Trading Volume Plunges, Signs of Concern?
Analysts remain bullish
A flurry of analysts have provided a bullish outlook for Bitcoin’s future trajectory. Furthermore, the launch of the Spot Bitcoin ETF in the United States along with growing institutional interest in cryptocurrencies, it has also fueled market sentiment.
Recently, well-known cryptocurrency market expert Mags (@thescalpingpro) shared a positive outlook for Bitcoin. In an analysis on X, Mags cited the historical price trend of Bitcoin and predicted that BTC will soon reach $91,000.
Source: Mags, X
Furthermore, another famous analyst Michael van de Poppe recently said that Bitcoin has “probably bottomed out” as it was trading between $63,000 and $65,000. This positive analysis seems to have strengthened market confidence, leading to a recovery in the price of Bitcoin.
Source: Michael van de Poppe, X
Michael Saylor’s MicroStrategy Increases BTC Bets
MicroStrategy, led by Michael Saylor, recently announced an offering of $700 million in convertible senior notes to investors. Notably, the company said it will use the proceeds from this offering to purchase more Bitcoin, sparking discussions in the market.
Notably, with the price rally today, Whale Panda further fueled discussions with a recent post on his 700 million dollars.”
Bottom line:
The recent recovery in the broader market, along with BTC’s price surge, has helped investors shift their attention towards the flagship cryptocurrency. While writing, Bitcoin price rose 1.13% and surpassed the brief threshold of $66,200, reflecting growing investor confidence.
Furthermore, data from CoinGlass showed that Bitcoin Futures Open Interest increased by 0.42% in the past 24-hour period and by 0.81% in the 4-hour period. On the other hand, the Bitcoin Fear and Greed Index stands at 60, suggesting a feeling of greed in the market.
Source: Bitcoin Fear and Greed Index,
Meanwhile, with recent bullish comments from analysts, along with the greedy sentiment hovering in the market, Bitcoin price may continue its upward momentum. However, investors should exercise due diligence given the still volatile scenario looming over the market.
Read also: Singapore Banks Under Scrutiny Following Cryptocurrency Crimes