Bitcoin nears all-time high with stable indicators, signal strength for further upside – K33 Research

According to K33 Research, Bitcoin (BTC) is showing no signs of a frenzy unlike in March, which indicates there is room for further price rises. report Published on October 29th.

At press time, BTC was trading at $73,500, about $300 off its new all-time high.

Despite an impressive rally of over 8% over the past week, Bitcoin’s trading volume remains subdued. Daily trading volume averaged $2.6 billion, almost half the level observed in the first quarter of this year. teaRelatively quiet market activity suggests a healthy, gradual uptick rather than panic buying.

Additionally, Ethereum (ETH) is lagging behind, with the ETH/BTC trading pair hitting multi-year lows, reflecting a shift in focus towards Bitcoin in the cryptocurrency space.

According to the report, Bitcoin’s recent rise to all-time highs lacked any of the typical euphoria. This indicates that Bitcoin is a mature asset that can maintain continued momentum amid favorable market conditions and upcoming election implications.

Increased institutional demand

Current market conditions for futures contracts represent a more balanced and less leveraged environment compared to March and April when speculative trading was prevalent.

Bitcoin’s annual funding rate now averages 10.83%, well below the high 32.17% rate seen in Q1. This suggests a more cool-headed and cautious approach among investors.

CME futures also reflect this stability. This is because the premium is closer to the average funding rate than the significantly different numbers in the first quarter.

The report added that exchange-traded fund (ETF) flows are showing strong institutional interest, and this demand supports expectations of sustained gains, especially as retail investors are showing much less urgency in the current rally.

Additionally, nominal flows recently reached an average higher than the Q1 peak, reinforcing the institutional interest thesis.

election loom

In line with other analysts’ expectations, K33 Research predicts potential gains for the cryptocurrency market if former US President Donald Trump wins the race.

The report noted that with favorable odds and several campaign promises geared toward a supportive regulatory stance on digital assets, a Trump victory could spark a surge across cryptocurrency markets.

Conversely, a victory for Vice President Kamala Harris may temper this momentum, although it may be less hostile to the US cryptocurrency industry. Therefore, the Harris term could be beneficial for Bitcoin and the cryptocurrency market by removing some of the uncertainty in the market.

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