Bitcoin Holds Steady Above $34k, Fuels Optimism for $40k Target Amid Macro Asset Comparison
Summary:
On October 27, Bitcoin (BTC) maintained a position above $34,000 as Wall Street opened. The cryptocurrency has remained stable, avoiding any major volatility and successfully conserving its early-week gains. A notable trader predicts Bitcoin to hover around the $33-35k range, while on-chain monitoring resource Material Indicators signals a bearish trend that could be invalidated by a rise to $38,850. Optimistic perspectives suggest the possibility of Bitcoin's price rising to $40,000 based on its superior performance to the S&P 500 since September.
As Wall Street opened on October 27, Bitcoin (BTC) maintained a comfortable position above $34,000. This has prompted a shift in focus on BTC price movements compared to other macro assets. Recent data from Cointelegraph Markets Pro and TradingView revealed that BTC/USD remained stable, successfully conserving the gains it accumulated earlier in the week.
Vital to Bitcoin's October ascent, this widely held cryptocurrency steered clear of any major turbulence as both the weekly and monthly closures drew increasingly close. Well-known trader Daan Crypto Trades predicted in several posts throughout the day that Bitcoin could hover within this price range for a while. He pegged the range as approximately between $33-35K and emphasised the potential for quick trades at these levels.
Despite this, Daan pointed out that open interest (OI) is almost back to where it was prior to the sudden surge that propelled Bitcoin to its highest in 17 months. Earlier, Cointelegraph noted that Bitcoin's open interests peak often signals a "squeeze" in the BTC price.
Separately, Material Indicators, a tool used for monitoring on-chain movements, identified a bearish hint on one of its own trading tools. The firm stated, however, that a rise to $38,850 could dispel this bearish notion. Nonetheless, part of the commentary argues that such a move could happen before the end of the month.
The prospect of Bitcoin's price rising to $40,000 was buoyed by more optimistic viewpoints drawn from macroeconomic comparisons. Social media trader Kaleo noted Bitcoin's superior performance to the S&P 500 since September. He added that the chances of Bitcoin's price continuing to rise are high due to this relative performance.
Given Bitcoin's progress over the past month, Kaleo believes there is enough momentum for Bitcoin's price to climb up to $40,000. Some additional insights pointed to the meaningfulness of the recent resistance levels that are swiftly turning into weekly and monthly support.
Crypto and macro analyst Matthew Hyland opined that the bears are running out of alternatives. "The only remaining hope for them," he opined, "is the weekly & monthly closure below."
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Published At
10/27/2023 3:07:40 PM
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