BTC price is poised to break 7-month low as Bitcoin ETF hits record high of $65B.
Bitcoin faces a tough week each week as bulls look to break out of a seven-month downtrend.
BTC/USD 1-Hour Chart. Source: TradingView
BTC price finally teases key isolation.
Data from Cointelegraph Markets Pro and TradingView shows that BTC price action is attempting to break the resistance from the March all-time high.
Bitcoin (BTC) has spent more than half a year consolidating downwards in a sliding channel since hitting a record high of $73,800.
BTC/USD has remained out of range since then, despite several attempts to re-enter price discovery. Now traders hope that the landscape is different.
Analyzing the weekly chart, trader and analyst Rect Capital showed repeated stabs at the upper end of the channel, the latest arrival this week.
“Bitcoin has experienced rejection from the top of the Downtrending Channel (red) as in the past (blue circles),” he said.
“To avoid this deep rejection, the most important bitcoin weekly closes in red resistance.”
BTC/USD 1-Week Chart. Source: Rekt Capital/X
Currently, a weekly close of around $68,000 is already in sight as buyers press above the top of the channel and give the bears little room to move.
“It's still early in the week,” Rect Capital concluded.
“Overall, we should look at this Downtrending Channel resistance (red) for signs of weakness compared to past rejections.”
BTC/USDT 1-day chart. Source: Daan Crypto Trades/X
In the shorter timeframe, there is more reason for optimism thanks to daily closes outside the channel.
“With the recent move, it has finally broken out of the channel it has traded in for most of 2024,” affiliate trader and analyst Daan CryptoTrades told X followers.
The accompanying chart shows BTC/USD clearing the 200-day simple (SMA) and exponential moving average (EMA) – something that has caused some “struggles since the summer.”
“The short-to-medium-term trend has also passed,” added Daan CryptoTrades.
Bitcoin institutional interest records eyes
Earlier, Cointelegraph reported that overall demand for Bitcoin is still highly influenced by relatively modest price shifts.
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The trend has continued in recent days, with BTC's upward price action creating a chain reaction among investors' capital inflows.
“Bitcoin investment vehicles have seen a net flow of 360,000 BTC worldwide and are on track to surpass the 2020 record of 373,000 BTC led by Grayscale,” Vetle Lunde, crypto analytics firm K33 Research, confirmed on October 18.
Bitcoin ETF net flows. Source: Vetle Lunde/X
Total US net flows into Bitcoin exchange-traded funds (ETFs) hit a record $20 billion, while total assets hit an all-time high of $65 billion.
“For context, it took almost 5 years for gold ETFs to reach the same number,” said Eric Balchunas, senior ETF analyst at Bloomberg.
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
