Bitcoin Rebounds to $65,000: What the Post-Halving Market Indicates for BTC's Future
Summary:
Bitcoin (BTC) regained its price position above $65,000 on April 21, after the highest daily close in over a week. Following the supply halving of Bitcoin, there has been a 5% increase in the cryptocurrency's price. Current data also indicates a rising appetite for long positions and a growing market sentiment favoring Bitcoin's continued uptrend. The coin is currently encountering resistance at the $67,500 mark but some market experts believe its value is likely to reach $80,000 soon.
On April 21, Bitcoin (BTC) returned to the $65,000 zone after the highest daily closure in more than a week. Starting at $64,346 on April 21, BTC saw a jump of 3.5% reaching a high of $66,527 on the following day, as per data from Cointelegraph Markets Pro and TradingView. At reporting time, BTC was up by 1.7% over a 24-hour period and was trading at $65,910.
With Bitcoin supply halving being introduced two days earlier, the flagship cryptocurrency has seen a 5% increase. This cut the mining rewards from 6.25 BTC down to 3.125 BTC. Experts ponder over whether Bitcoin will continue to ascend post-halving.
According to Coinglass data, Bitcoin’s open interest funding rate went negative on April 18 and again on April 21 before reverting to a positive 0.0079% on April 22. This reflects a growing interest in long positions following significant price movements like the 5% elevation in Bitcoin’s cost between April 20 and April 22.
Bitcoin's open interest fell below 0% recently, a low not seen in over six months, reminiscent of the situation in October 2023. Since October, Bitcoin's price has leaped by 146%, which might hint at a sustained recovery in the broader market.
Analysis of last week’s price action showed Bitcoin frequently sold during the start of Wall Street’s trading session. At a week-end close above $65,000, independent trader Skew posited that Bitcoin's performance was "pretty solid." Skew further hinted that Bitcoin's trend could creep into higher timeframes and it resided in a tricky $65,000 to $66,000 range.
IntoTheBlock data reveals that Bitcoin enjoys solid support on the downside between the $64,380 to $66,338 range, bought by 1.31 million addresses totalling about 638,330 BTC. Crypto analyst Rekt Capital implied that BTC had cemented its strength above $60,000 and may oscillate between the $60,000 and $70,000 band for a few months in a “post-halving rebound.”
Traders are intrigued by Bitcoin's potential post-halving performance, with X user Moustache believing that Bitcoin is heading towards the $80,000 target. From a technical viewpoint, a bull flag has appeared on Bitcoin’s weekly chart suggesting that the uptrend will continue. Bulls are up against a $67,500 resistance level on the flag’s upper boundary. Breaking through this level could lead to a high of $73,835 and then potentially the $80,000, a 13% rise from the current price.
Published At
4/22/2024 8:35:18 PM
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