Originally published on: November 15, 2024
Bitcoin has experienced a slight dip of 0.5% in the last 24 hours, currently trading at $89,077, just 4.5% below its all-time high of $93,434. However, despite this pullback, various indicators hint at a possible rally continuation in the crypto market.
Optimism surrounds the potential for a crypto-friendly Donald Trump administration, coupled with a surge in stablecoin inflows into exchanges and steady flows into spot Bitcoin ETFs, indicating that the bull market is far from over.
A recent 17% increase in Bitcoin’s value over the past week coincided with a notable influx of stablecoins into cryptocurrency exchanges, according to data from market intelligence firm CryptoQuant. This influx acts as fuel for the market, fueling speculation of a sustained upward trend.
Historically, significant price rallies have been preceded by a surge in stablecoin inflows to exchanges. The previous bull run in 2021, for instance, was foreshadowed by a similar trend between September 2020 and February 2021.
Amidst these developments, there is growing anticipation within the crypto community regarding Trump’s potential return to office and the impact it could have on the market. Investors are eagerly awaiting the fulfillment of his campaign promises and the subsequent implications for the crypto landscape.
The Coinbase Premium Index, which tracks the price disparity between Coinbase and Binance, has hit its highest level since April, signaling strong demand from the United States. With massive inflows into US-based spot Bitcoin ETFs, totaling over $4.7 billion post the presidential election, there is a clear indication of rising interest in BTC investment products.
Moreover, key evaluation metrics like the Market Value Realized Value (MVRV) ratio suggest that Bitcoin remains reasonably priced, with ample room for growth before reaching overbought territory. Additionally, the onchain Realized Price Bands indicate a potential uptrend, with Bitcoin likely to target the $100,000 level in the near future.
As the market gears up for a possible new era under Trump’s administration, traders are optimistic about the continuation of Bitcoin’s rally. While this article does not offer investment advice, it highlights the exciting signs pointing towards a sustained upward trajectory for Bitcoin. Stay tuned for more insights and updates on the crypto market.
