BTC’s performance continues to be supported by strong demand and key technical factors, while volatility remains high amid global political and economic uncertainty.
The recent dynamics of the crypto market are driven by several factors, including the growth of spot exchange-traded funds (ETFs) and a significant increase in open interest in futures. This context, added to the renewed optimism in the options markets, favors the latest advances in the value of the Bitcoin.
Bitcoin is trading above US$67,900, after touching US$68,000 for a few minutes. Ethereum meanwhile remains above US$2,630, while Solana and other altcoins catch the BTC note.
Standret highlights the strength of spot exchange-traded funds (ETFs), the high level of open interest in futures and the recovery of bullish sentiment in options markets as key factors driving the recent rallies of the crypto asset.
The data analyzed by the market
On the supply side, a relevant aspect is the FTX case, where creditors are expected to receive a cash distribution, which could lead to a reallocation towards cryptocurrencies, offsetting the pending impact of Mt. Gox. Furthermore, with the US elections and the next Federal Reserve meeting less than a month away, volatility is expected to remain high, in line with risk assets and the breakout of VIX futures for November.
In technical analysis, bitcoin’s recent rises place it near the key short-term resistance, located at $67,135.
Regarding the offer outlook, one of the most notable elements is the FTX case, where creditors are expected to receive a cash distribution. This could spark a move towards cryptocurrency purchases, potentially offsetting the effects still expected from the Mt. Gox case. Pending the elections in the United States and the next decision by the Federal Reserve, analysts foresee high volatility in the markets, also reflected in the VIX futures.
From a technical perspective, bitcoin has reached levels close to an important short-term resistance, located at $67,135, which could mark a key point in its evolution.
Source: Ambito
