To The Moon

Bitcoin has come back from the flash crash and stayed above $70,000 level after 10-day cool off and we are still seeing Bitcoin trend in the upside.

The rally did not trigger mass short liquidations, suggesting there were not many market participants using leverage to bet on falling prices.

Bitcoin Correlation With S&P 500

If we look at the overall market last night, S&P 500 has a dip with 0.28%, but we could see that the correlation is dropping as well, this would mean Bitcoin movement is still very much tied to how S&P 500 moves.

Transactions On Bitcoin Network Falling

We could see that daily transaction on the bitcoin network is dropping, so there is no significant signs that despite price surge, there are not many market participants going for the sell.

New Addresses Added On Bitcoin Network Need to Pick Up

The new addresses are not picking up, so in order for us to reach a new high of $80K, we would need to see an increase in the number of new addresses.

If we look at how the chart behave, when Bitcoin make the flash crash, the number of new addresses was dropping, so unless there is an increase to boost this up, we might stay at the $70k range for a while.

Bitcoin $80,000 and higher Possible After Break Out From Consolidation Pattern

We saw Monday (25 Mar) surge providing a signal that the recent correction for crypto market is coming to an end potentially, Tuesday (26 Mar), Bitcoin stay above $70,000 gave some confidence, which we saw BTC drop below $61,000 last week from the record highs above $73,000. this was coupled with tepid inflows to new U.S.-listed spot bitcoin ETFs and increased selling of $Grayscale Bitcoin Trust(GBTC)$

We can see how the Spot Bitcoin ETF volume have been moving.

If we look at how Bitcoin has create new all-time highs after breaking out to the upside from its consolidation (happen recently in mid-Feb 2024), based on what we have seen similar pattern recently, we could be looking at $10,000 to $15,000 price increase for Bitcoin;s next move from around the $70,000 level. This could propel BTC as high as $80,000.

We could also look out for other signs on why this could be possible.

Cumulative Spot Bitcoin ETF Volume Need to Continue Its Rise

If you have been following how the volume for Spot Bitcoin ETF have been accumulating, you would notice that there have not been any slowdown for these.

So what can these tell us, this tell us that market is still very much into a bull market for crypto BTC.

BTC Heavy Crypto Stocks Perform When BTC Uptrend Appear

In order to take advantage of the possible $80k highs for BTC, we could look at $MicroStrategy(MSTR)$ , there have been times when it crosses $1,900, I think it would not be long before we see it cross the $2,000.

Always remember that there will be investors selling this stock when price is good and reload when Bitcoin make a correction. So as investors we could follow this trend.

Summary

Several banks has tilted toward dovish stances, this should support the uptrend, this should benefit the Bitcoin price.

Another point to note is bitcoin tends to perform well during U.S. election years – and 2024 is one – historically advancing 100%-200%, which also supports the case for higher prices later this year.

So I feel that $80k and higher might be a potential play as we monitor

Appreciate if you could share your thoughts in the comment section whether you think Bitcoin could reach $80,000 and higher?

@TigerStars @Daily_Discussion @Tiger_Earnings @TigerWire appreciate if you could feature this article so that fellow tiger would benefit from my investing and trading thoughts.

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.

$CleanSpark, Inc.(CLSK)$ $iShares Bitcoin Trust(IBIT)$