- Bitcoin moves past $23,500 for the first time ever after moving to $30,000 on new year’s day.
- BTC is now up by over 10% in the past 24 hours, pushing the altcoin market higher.
- There are a number of supply-demand factors accentuating this rally.
- Analysts think that the market may be nearing a blow-off top.
Bitcoin Moves Past $32,500
Bitcoin just moved past $32,500 for the first time ever just minutes ago. As of this article’s writing, the leading cryptocurrency is trading at $32,600 on the top spot exchanges.
The altcoin market is also moving higher with Bitcoin’s latest leg higher. Ethereum is up 6% in the past 24 hours, moving to new yearly highs at $772.
Analysts are optimistic that altcoins have room to rally but some fear that the BTC market is on the verge of reaching a top.
Bitcoin’s latest leg higher come as the U.S. dollar has pushed down to multi-year lows as the latest stimulus bill was passed. This is one key reason why analysts think that Bitcoin’s price action has been so skewed to the upside over recent months.
Chart of BTC's price action over the past two months from TradingView.com
Other Bullish Factors
Also influencing this rally is a strong institutional bid for Bitcoin, analysts say, coupled with a lack of selling pressure on top exchanges.
The chart below was recently shared, which shows that Bitcoin is about to enter a period where there is little selling pressure on the order books. As BTC is now in price discovery, investors will have to speculate as to where they should put sell orders to secure profits.
— Simone Conti (@simoneconti_) January 2, 2021
Bitcoin is also moving higher as a result of short liquidations. Sites that track the short liquidation metric have indicated that in the past hour, more than $100 million worth of BTC short positions has been liquidated.
Featured Image from Shutterstock Price tags: xbtusd, btcusd, btcusdt Charts from TradingView.com Macro Analysis Predicts Bitcoin Has Begun Rally Toward $100k