After its first monthly closing above $ 60,000, Bitcoin (BTC) is off to a turbulent start for a new week and a new month. What’s the next step?
Following the conclusion of “Uptober,” the Bulls are looking to November to provide the next phase of what they hope – and sometimes guarantee – will be a BTC price rise unlike any other.
The time, like the projections, fluctuates. This month, BTC/USD might see a monthly closing of about $ 100,000 – but also a collapse to nearly $ 50,000.
With everything on the table and solid buyer support in the top $ 50,000 level, TBEN is looking at what may influence Bitcoin price behavior in the coming week.
Whatever happens next, market players are celebrating this week as Bitcoin reaches its greatest monthly closing in history.
BTC/USD 1 Day Chart: Source- tradingview.com
Not just $ 60,000, but also $ 61,000 has become the November target.
On short timescales, however, bitcoin is everything but ‘up,’ and Sunday’s closing saw significant post-factum volatility — a journey to $ 59,500 – before another surprise struck it. After a few hours, you’ve won over $62,000.
Fans of PlanB’s “worst-case scenario” pricing projections, which anticipate a price of at least $ 63,000 by the end of October, may be apprehensive.
However, the outcomes for PlanB have been more than adequate. “Yes, Bitcoin may not close above $ 63,000 this month,” according to TBEN writer Michal van de Poppe. added to the circumstance
BTC/USD is currently trading at roughly $ 61,788.88, following a retracement from overnight lows. With gains of slightly about 40%, October was the greatest month since December 2020.
The Bitcoin network’s foundations are a great place to start if you’re searching for something really “up only.”
This week, the difficulty will have its eighth straight positive adjustment, which hasn’t happened since 2018.
This week, the difficulty will fall to $ 21.89 trillion, a little over $ 3 trillion below than all-time highs.
A similar narrative can be found in hash rate, which is a measure of processing power allocated to mining.
According to estimations, the hash rate is still heading towards new all-time highs, despite the fact that it is hard to “measure” in concrete terms.
Raw data fluctuates, and differing estimations can result in drastically different values. However, the average weekly hash rate is presently about 159 exahashes per second (EH / s), which is closer than ever to April’s all-time high of 180 EH / s.
From the perspective of a Bitcoin bear, the trading picture is bleak when it comes to supply shock.
BTC foreign exchange reserves have dropped to their lowest level in three years, according to new statistics from chain research firm Glass node.
Over time, in late 2018, Bitcoin was nearing the bottom of its last bear market, which had peaked at $ 3,100 in December.
The price action has altered by an order of magnitude since then, but the balances have continued to drop — everything points to the enormity of the potential shock if demand rises rapidly from here.
The next week may see predictable movements in traditional markets, as well as their usual influence on crypto markets.
These might be a result of the US Federal Reserve’s latest statements on coronavirus handling on Tuesday and Wednesday, as markets look for more signs that asset purchases would be reduced.
It comes as global inflation rises, and Fed Chairman Jerome Powell earlier stated that the related story – the supply chain issue – will likely continue “for a while. next year.”
Such circumstances add to Bitcoin’s appeal as a naturally deflationary asset class with a mathematically provable supply limit.
Institutional interest is seen in current Bitcoin investment products as well as new futures exchange-traded funds (ETFs).