Key Points
- Bitcoin (BTC) price is demonstrating a bullish recovery towards $68K, driven by whale investors.
- Bitcoin whales have been actively accumulating, particularly ahead of the 2024 U.S. election and expected Federal rate cuts.
Bitcoin’s price has been fluctuating after recently reaching its 2021 peak of approximately $69K.
In the last two days, the price has been revisiting the July 2024 high of around $68K. Despite dropping to $66.6K on Monday, Bitcoin rebounded above $67K on Tuesday, October 22. This volatility led to nearly $200 million being liquidated from the crypto-leveraged market, mainly affecting long traders.
Predictions and Technical Analysis
There is a possibility of Bitcoin continuing in a midterm bearish outlook before a parabolic bull run commences in the coming months. Furthermore, Bitcoin has recently broken out of a multi-week falling logarithmic trend that started in early March, suggesting a potential market cool-off.
From a technical perspective, Bitcoin could fall to the support level around $64.6K before rebounding beyond $70K. However, if Bitcoin consistently closes above $69K in the next few days, a rally towards its all-time high is likely by the end of the month.
The October crypto bullish narrative is gradually gaining traction, with most altcoins led by ApeCoin (APE), and some meme coins leading in bullish breakout.
Bitcoin Whales Accumulating
On-chain data reveals that Bitcoin whales have been accumulating consistently, particularly in anticipation of the 2024 U.S. election and more Federal rate cuts. The escalating crisis in the Middle East and between Russia and Ukraine has led to increased global fiat devaluation amid high inflation.
As a result, institutional investors are adopting Bitcoin as a strategy to hedge against market uncertainty.
According to recent market data analysis, the net supply of Bitcoin on centralized exchanges has decreased by over 44k in the past week to approximately 2.37 million coins at the time of writing. This significant decline in Bitcoin supply on centralized exchanges has coincided with a notable spike in demand from U.S.-based spot BTC ETFs.
On Monday, the U.S. spot Bitcoin ETFs recorded a net cash inflow of about $294 million. BlackRock’s IBIT experienced the highest cash inflow of about $329 million on Monday, currently holding BTC worth about $26.45 billion.
Meanwhile, Metaplanet Inc announced that it had finalized the previously announced 11th Stock Acquisition Rights, achieving a 72.8 percent exercise rate. As a result, Metaplanet will soon double its Bitcoin holdings from 861.4 coins.
