Key Points
- Bitcoin (BTC) value surges above $66K for the first time since July, driven by institutional investors.
- Altcoins, led by Ethereum (ETH), indicate a potential breakout, with BTC’s next target set at $68K.
Bitcoin’s value rose more than 5% within 24 hours, closing at $66,071 on Monday, October 14, its highest level since July 30. On Tuesday, October 15, during the mid-European session, Bitcoin’s value slightly dropped to trade around $65,595.
This significant increase in Bitcoin’s price suggests a high probability of a new peak being formed in the coming weeks.
October’s Bullish Trend
The bullish trend in October is gradually gaining momentum, with most altcoins, led by Ethereum, signaling a potential breakout on the horizon. If Bitcoin consistently closes above the resistance level of $66K, the next target of $68K will easily be within reach.
According to experienced market trader Peter Brandt, Bitcoin needs to consistently close above the resistance level of about $68,224 to ensure a rally towards a new all-time high in the near future. Brandt previously noted that Bitcoin’s price is currently caught in a macro falling trend that started in March.
Following the significant crypto volatility in the past 24 hours, more than $200 million was liquidated from the leveraged trading market, primarily involving long traders.
Institutional Investment in Bitcoin
After a slow start in the first two weeks of October, institutional investors have doubled down on their Bitcoin purchases in anticipation of further bullish breakout. Market data analysis shows that US spot Bitcoin ETFs registered a net cash inflow of over $555 million on Monday, the highest record since early June.
Fidelity’s FBTC, Bitwise’s BITB, BlackRock’s IBIT, and ARK 21Shares Bitcoin ETF led in cash inflows of approximately $239M, $100M, $79M, and $69M respectively. Notably, even Grayscale’s GBTC registered a net cash inflow of over $37 million on Monday. It’s important to note that there were no cash outflows on Monday from any of the US spot Bitcoin ETF issuers.
In related news, Japan’s Metaplanet Inc. (Tokyo: 3350) announced that it had acquired an additional 106.976 Bitcoins, worth ¥1 billion. As a result, the company now holds around 855 Bitcoins, valued at approximately $56 million based on the current market value.
Market Outlook
Following the significant increase in Bitcoin’s price in the last 24 hours, the fear of further crypto capitulation has significantly decreased. Bitcoin’s fear and greed index surged to 65 percent earlier today, the highest in several weeks.
According to BlackRock CEO Larry Fink, Bitcoin has the potential to be as big as the housing market, which is currently valued at over $50 trillion. The upcoming US 2024 election amid the ongoing economic shift, catalyzed by the recent Fed rate cut, will further expedite the crypto bullish outlook.
