Why is Bitcoin rising today?
The cryptocurrency market, led by Bitcoin (BTC) and Dogecoin (DOGE), has posted noticeable gains over the past 24 hours. The total crypto market capitalization has rallied more than 4 percent in the past 24 hours, hovering around $1 trillion on Monday, November 11, 2009, during the early session in Asia.
Bitcoin price has increased more than 5% in the last 24 hours to reach a new all-time high (ATH) at $81,672. As the altcoin market tries to follow Bitcoin in a deeper look, the crypto's heightened volatility has resulted in more than $684 million being withdrawn from leveraged traders in the past 24 hours.
The main reasons for the increase in the price of Bitcoin
Bitcoin price and the entire crypto market have been reacting to macro conditions over the past few days, especially from the United States. On a higher note, the election of pro-Creto candidates in the United States has renewed mainstream adoption of digital assets and Web3 protocols.
Moreover, the United States is expected to approve the purchase of 1 million bitcoins in the next five years to prevent a ballooning national debt.
Late last week, both the Federal Reserve and the Bank of England (BoE) initiated another rate cut to stimulate economic growth in the near term. As a result, whale investors have been able to expand their portfolios from the gold market to the bitcoin and altcoin markets for higher returns.
Over the past five weeks, US spot Bitcoin ETFs, led by BlaRock's IBIT, have recorded net inflows of more than $7.3 billion.
What next?
With its highest weekly close since its inception, Bitcoin price has officially entered the most exciting period of a macro bull market, best characterized by a parabolic rally.
According to well-rounded trader Peter Brandt, the price of Bitcoin is showing similar price action to gold in the macro time frame.
Brandt notes that Bitcoin's price action from March 2021 is similar to that of gold between 2010 and early 2024.
With a long-term target of $260k, Brandt has previously argued that the price of Bitcoin will remain in price discovery until the second half of 2025 before entering the next major bullish cycle in the following years.
