Bitcoin‘s price has soared, reaching unprecedented highs when measured in European currencies such as the Euro and Pound. The digital currency’s market capitalization has now eclipsed its previous peak from November 2021. Despite not breaching the $69,000 mark, the increase in Bitcoin’s circulating supply has propelled the market value to new heights, reaching a value of $67,000. This development has generated discussions among experts regarding the future trajectory of Bitcoin.
Comparative Market Assessment
A further ascent of 10% in Bitcoin’s market value could see it overtake Silver and rank as the eighth most valuable asset globally. Meanwhile, Shiba Inu (SHIB) witnessed a 54% surge, outperforming numerous altcoins and signaling a return to bullish market conditions marked by continuous price rallies.
Expert Predictions and Economic Indicators
Venturefounder from the on-chain analytics platform CryptoQuant has weighed in on the recent market trends, asserting that despite an exciting Monday, more challenges lie ahead within the week. Upcoming U.S. economic data, which includes employment and wage growth figures, could influence expectations related to the Federal Reserve’s interest rate decisions in 2024. Current sentiment suggests that if this week’s data is unfavorable, the belief that the Fed might not reduce rates could gain more supporters.
Keith Alan, co-founder of Material Indicators, has identified what appears to be a ‘Cup and Handle’ pattern forming on Bitcoin’s macro chart. This technical formation typically requires a pullback following a double top at the all-time high, regardless of the correction’s magnitude. Alan cautions traders, hinting that the market may not present a straightforward trading opportunity.
As trading commenced, BlackRock’s spot Bitcoin ETF, IBIT, surpassed $1 billion in trading volume. This is in contrast to Grayscale Bitcoin Trust (GBTC), which saw substantial outflows. However, GBTC’s outflows haven’t raised alarms as they represent early market entrants securing profits. Concerns would escalate if profit-taking were to intensify contrary to ETF inflows, but for now, the focus remains on the climbing demand.