Author: Support FXL

After days of volatility, Bitcoin (BTC) was able to bounce back above $59,000 as the market stabilized after reports indicating an Israeli attack on Iranian military sites caused minimal damage. 

The cryptocurrency market has surged upward quite strongly, attracting the interest of traders and investors. At press time, Bitcoin (BTC) is approaching the crucial $66,000 resistance level, potentially making way for a new all-time high if broken successfully. As the Bitcoin halving event approaches with only 100 blocks left, market volatility continues to rise.

There has been a strong bullish pressure on Bitcoin’s (BTC) price as buyers have continued to accumulate around the $59,000-$60,000 range. As a result, there has been a solid rebound in price, with expectations of meeting short-term buyers’ objectives in the hours ahead, triggering liquidations totaling $20 million.  

Despite the sudden surge, analysts are still closely observing the $66,000 level as it could potentially offer technical support for Bitcoin to overcome further resistance levels. Market analysts are also closely watching the US trading session, anticipating it to add momentum to the current trend potentially. 

According to Skew, if Bitcoin’s (BTC) price breaks above $66,000, it could potentially trigger another bullish trend possibly propelling BTC’s price towards a new ATH. Expectations suggest that prices will likely remain elevated due to the anticipated approval of the spot Ethereum ETFs, potential interest rate cuts by central banks, and regulatory changes, rather than being predominantly influenced by the halving event. 

Meanwhile, Arthur Hayes, co-founder of BitMEX, has highlighted Bitcoin as the only viable solution amidst the expansion of central banking balance sheets during the current Token2049 conference in Dubai. 

Hayes further stated that real yields are expected to remain negative, which the US Fed and Treasury are actively managing to sustain. This is because they are allowed to borrow funds at lower rates. If that trend continues, Bitcoin (BTC) along with other cryptocurrencies will keep increasing in value. However, he also warned about the opposite but reassured that there’s very little chance the real yields will go positive anytime soon.

After a recent period of bullish activity, Bitcoin (BTC) has maintained its position above the $70,000 threshold, indicating the possibility of further price gains. 

Bitcoin’s (BTC) value has been ascending, currently trading above this significant threshold and the 100-hour simple moving average, suggesting strong market confidence. 

Traders are closely observing the hourly trend, noting that Bitcoin has surpassed a bearish pattern but is encountering resistance around the $70,800 and $71,250 levels. This means that a breakthrough beyond these thresholds could spark a stronger bullish momentum. 

However, if Bitcoin (BTC) struggles to surpass the $71,250 level, it could indicate a potential for another downtrend in the near term. At this time of writing, Bitcoin (BTC) is trading at $70,654.06. Nevertheless, in the event of a more substantial decline, the initial support level appears to be forming around $69,350. If the price closes below this level, it may lead to a further decline up to $68,500. In that case, the price could potentially regress to the support zone around $67,500 in the short term. 

Meanwhile, Bitcoin miners are hurrying to maximize their coin production before the Bitcoin halving event, which would result in a notable surge in mining difficulty. 

At this stage, Bitcoin mining difficulty has recently increased to unprecedented heights, reaching the 86.39 trillion hash mark before the Bitcoin halving. This surge aligns with an influx of Bitcoin miners striving to increase their coin production as the 2024 halving event draws near, leading to elevated hash rates that ultimately enhance network security. 

Furthermore, Bitcoin miners are in a race to accumulate as many coins as they can before the halving event. Miners see this event unfavorably as it decreases the pace of new BTC token creation. Consequently, they endeavor to amass as many coins as possible prior to the halving, leading to a surge in mining activity, as described earlier.