Bitcoin Price Surge: “Uptober” Ends on a High Note
Bitcoin Price Update – Bitcoin (BTC) is entering the final days of “Uptober” with a notable price increase, closing the week at $68,724. This bullish weekly close has traders optimistic about further gains, particularly as market sentiment shifts amidst significant macroeconomic data releases and impending US elections.
Market Volatility Predicted
Analysts foresee a volatile month-end for BTC/USD, anticipating a possible retracement to the CME futures gap around $67,000. This comes as the market braces for key economic data, including Q3 GDP, major technology earnings, and employment figures, all coinciding with the upcoming US Presidential Election and Federal Reserve rate meeting.
Breaking the Downtrend
Bitcoin appears to be breaking free from a downward-sloping channel that has constrained it since the all-time highs in March. Traders noted that the recent close just below $68,000 reflects a resilient market position. According to Cointelegraph Markets Pro and TradingView, a robust rebound in Bitcoin prices is continuing into the initial Asia trading sessions of the week.
Key Levels to Watch
Popular trader Daan Crypto Trades emphasized the potential for a highly volatile upcoming week, highlighting the significance of the CME gap at $67,000. As the US Presidential Elections approach, traders are poised for significant price movements across the cryptocurrency market.
Other analysts, including fellow trader Roman, noted that Bitcoin’s current consolidation below March’s highs of $73,800 could set the stage for a breakout above the crucial $70,000 resistance level. “So long as we consolidate, we will build the volatility necessary to break 70k resistance,” he stated.
Golden Cross Signals Bullish Momentum
A promising technical indicator, the golden cross, is forming on Bitcoin’s daily chart, where the 50-day simple moving average (SMA) is crossing above the 200-day SMA. Historical patterns suggest that the last occurrence of this signal led to Bitcoin’s price doubling within five months. Should this pattern repeat, BTC could potentially reach six figures by Q1 2025.
US Macro Data Influences Market Sentiment
With the return of US macroeconomic data after a two-week hiatus, volatility in risk assets, including cryptocurrencies, is anticipated. Upcoming reports will include crucial indicators such as nonfarm payrolls (NFP) and the Personal Consumption Expenditures (PCE) index, which the Federal Reserve uses to gauge inflation.
Traders are particularly focused on the Federal Reserve’s next meeting on November 7, where the likelihood of a 0.25% interest rate cut is predicted at 95.1%, according to data from the CME Group’s FedWatch Tool. This backdrop of significant events adds further complexity to the current trading environment.
Weekly Close Reflects Strong Bullish Sentiment
Bitcoin concluded the previous week with a close at approximately $67,940 on Bitstamp, described by many as the “most bullish” weekly outcome possible. This close is significant given Bitcoin’s behavior since its all-time high in March, indicating a potential end to its prolonged downward trend.
Analyst Rekt Capital remarked, “Bitcoin is on the cusp of confirming a successful post-breakout retest,” suggesting that the market is primed for further upward movement.
Increasing US Bitcoin Ownership
For the first time since the highs in March, the percentage of Bitcoin held by US entities has started to rise. An analysis by CryptoQuant highlighted that this increase could be a precursor to a new bull market phase, as historical patterns indicate that significant ownership by US investors often coincides with bullish price movements.
Whale Accumulation Continues
In contrast to the relatively low retail investor activity, Bitcoin whales are actively accumulating. Recent data indicated a 1.9% increase in whale entities holding 100 BTC or more, while smaller wallets have decreased by over 20,000. This trend often signifies a bullish outlook for Bitcoin, as larger investors typically buy during market downturns.
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