Bitcoin Set For Breakout As Key $63K Level And U.S. Election Drive Momentum
- Short-term Bitcoin holders have decreased from 55% to 40%, signaling potential heightened reactions to upcoming price movements.
- Bitcoins critical resistance at $62,500 aligns with the CME gap, with a break above $63K possibly triggering a short-term bull trend.
- The upcoming U.S. elections could impact BTCs price, with traders closely watching political developments for further market influence.
Bitcoin has been trading in a sideways trend over the past week, but some indicators that could herald a significant change are starting to appear. Data from blockchain analytical service CryptoQuant indicates that the percentage of Short-Term Holders (STHs) investors who have owned BTC for six months or less has fallen from 55% to 40% over the past three months. This change indicates that the short-term investors reactions to prices may pick up in the coming weeks.
The referral platform selected $62,700 as the marker of interest for these investors. A move above $63K could open the door to a short-term bull trend especially if backed by good trading volumes. This level is a break or fall point that could determine the future movement of cryptocurrecny.
Bitcoin Bullish Outlook
Crypto Rover recently posted a similar view on a YouTube video where he called the recent market pullback as a possible bear trap. He pointed out that the price of BTC has been making higher lows, which may be a sign of a new uptrend. The BTC price is again hitting $62,500 resistance which coincides with the CME gap, an area in the price chart that is usually filled after the market closes.
Source: Chart by CryptoRover
If BTCis to break through the $62,500 barrier, it could open up more opportunities. October is one of the best months for BTC as it has been painting higher lows towards the end of the month. More traders are now trying to find out if Bitcoin can benefit from this trend once more.
Source: Chart by CryptoRover
U.S. Elections Impact on Bitcoin
Moving away from the fundamentals, the US elections that are slated to happen in the near future are also a key driver of the BTC prices. An enabling government may raise the price, given that past election periods have been coupled with Bitcoin rises. As the election is near,the political events are being watched by the traders very carefully.
BTC has been trading at $62,720.60 today and has risen by 3.39% in the last 24 hours. In the past week, Bitcoin has also recorded a 0.97% increase, which shows that the coin is in an upward trend recently.
Source: TradingView
Furthermore, the daily trading volume of Bitcoin has hit $31,049,545,153 which shows that more and more people are trading Bitcoin. The high trading activity indicates that more people are paying attention to and there is a lot of activity within the cryptocurrency market.
Although short-term prospects of Bitcoin are still unknown, a large number of investors expect that, in the near future, the cryptocurrency may reach a new rate. If those levels are violated and historical trends remain valid, Bitcoin could be headed for a great finish in the year.
Read more: https://www.tronweekly.com/bitcoin-set-for-breakout-as-key-63k-level-and/
Text source: TronWeekly
