Bitcoin price surpasses $64,000 for the first time in two years.

The price of Bitcoin rose more than 10% to a 2024 high of $64,000 as of February 28, with its value rising 50% that month. This surge is largely due to market expectations of an impending halving event, which has historically been associated with a bullish price trajectory.

Bitcoin recently surged past $60,000 for the first time in two years. This milestone reflects a 13% weekly and 37% monthly gain, as reported by CoinMarketCap. The last time Bitcoin reached this level was before a major decline in November 2021, reaching a low of $19,297 by early April 2022.

The current upward trajectory is primarily related to expectations of the upcoming Bitcoin halving event, which is traditionally associated with increased purchases due to the expected supply cut, potentially leading to higher prices. Hectic Labs’ Bryan Legend sees this as the beginning of a bull market phase, often called the “pre-halving rally.” Conversely, cryptocurrency analyst Rekt Capital suggests a potential “pre-halving retracement,” noting that significant market moves typically occur after, not before, a halving event.

The introduction of spot Bitcoin exchange-traded funds (ETFs) has also been identified as an important factor contributing to the current bullish trend in the Bitcoin price.

Despite the positive momentum, some market observers have raised concerns about the current market structure and widespread use of high funding rates, suggesting a possible correction due to the liquidation of leveraged positions.

Options market experts, on the other hand, take a more optimistic view, believing the rally is sustainable and dismissing the idea that the surge is nearing an end. Analyst Chris Newhouse The characteristics of the rally were highlighted., driven by a combination of derivatives market activity and spot market demand, further amplified by record inflows into ETFs. He cited the key moment when Bitcoin crossed the $53,000 threshold, which was highlighted by strong volume and genuine demand, drawing momentum traders into the market.

Independent market analyst Nunya Bizniz notes that Bitcoin’s Relative Strength Index (RSI) above 70 suggests a sustained upward trend, and this pattern has been observed to persist for at least 335 days after reaching this RSI level in previous cycles. The emphasis contributed to a positive outlook.

In the ETF space, US spot Bitcoin ETFs continued to see high activity, peaking at $2.4 billion on February 26 and seeing unprecedented trading volumes. BlackRock’s iShares Bitcoin Trust ETF surpassed 100,000 transactions on February 27, a significant increase from its daily average. Spot Bitcoin ​​ETFs drive 75% of new Bitcoin investments, highlighting their impact on market dynamics.

The highest BTC price this season was $64,000?

Bitcoin reached a high of $64,000 before plummeting to $58,700. This was probably caused by significant selling at that price point and the liquidation of over-leveraged long positions. However, Bitcoin soon recovered almost 5% from this decline.

Bitcoin is currently less than 13% below its all-time high of $68,900, which retail and institutional investors expect to surpass before the halving event scheduled to occur in about 52 days.