Featured Image from Unsplash.com, Chart from TradingView.com<\/div>\n","protected":false},"excerpt":{"rendered":"
Bitcoin (BTC) has performed remarkably over the past week, surging 30% since the November 5 US election. The flagship crypto surpassed its March all-time high (ATH), recording a new high nearly every day for the last seven days. Bitfinex analysts noted that the market remains \u201crelatively stable\u201d despite increased speculative activity. Related Reading: Bitcoin Closing In On $80,000 For Record-Breaking Run After Trump Win Bitcoin ‘Fair Value’ Priced In At Higher Levels Following Donald Trump\u2019s victory last Tuesday, the crypto market has seen a massive rally, surging to a market capitalization of $3.05 trillion. Bitcoin has led the post-election bullish run with a 30% price increase, nearing the $90,000 mark earlier today. According to Bitfinex Alpha report, the rally \u201chighlights the positive reaction to the election outcome, with investors positioning themselves for potential economic stimulus and regulatory shifts.\u201d During the March highs, BTC\u2019s realized profit volume reached its peak of $3.1 billion. Since then, realized profit volumes have gradually decreased, \u201creaching an equilibrium.\u201d As the report noted, there\u2019s been a reset in supply and demand forces, which indicates, alongside the recent price surge, that \u201cthe market is now pricing in a higher \u2018fair value\u2019 for Bitcoin.\u201d At the same time, the cryptocurrency continues its price discovery. Moreover, profit-taking above $70,000 has been significantly smaller than the past instances when Bitcoin traded above this range, despite a structural increase in profit-taking. Bitfinex analysts consider this to signal the \u201centry of a new wave of demand into the market,\u201d backed up by Spot Bitcoin exchange-traded funds (ETFs) buying post-elections. Additionally, it suggests that fresh investor interest \u201ccould drive further upward momentum in the near term.\u201d BTC Enters ‘A New Phase’ The report highlighted record-breaking BTC ETFs\u2019 inflows, around $2.28 billion in three days. This performance represented a significant increase from the pre-election de-risking, which saw the crypto-based investment products record their second-largest single-day outflows. According to CoinShares data, Bitcoin ETFs closed the US election week with $1.8 billion in inflows and started this week with $1.1 billion in positive net flow. This performance displays a resurgence in demand for the flagship crypto as the market adjusts to BTC\u2019s new price levels. Bitfinex analysts explained that from March to August, there was significant supply and insufficient sustained buying pressure to absorb it. The recent demand surge suggests a notable shift as buying interest is \u201cabsorbing selling pressure at all-time highs and stabilizing market dynamics: Now we appear to be entering into a new phase where the volume of profit-taking when BTC hits an all-time high is notably lower, given the amount of fresh demand entering the market post-election. This demand is helping to absorb the minor selling pressure still present, suggesting a healthier market environment and potential for further upward movement. Related Reading: Solana (SOL) Records 3-Year High As Price Hits $220, Is $260 Next? Meanwhile, Open Interest (OI) in Bitcoin futures and perpetual contracts reached ATH, hitting $45.43 billion. The report explains that this signals an increase in speculative activity but details that the market remains \u201crelatively stable\u201d since OI and BTC prices \u201care in equilibrium at elevated levels.\u201d Ultimately, Bitfinex anticipates some consolidation soon, with a potential pullback to $77,000. A correction toward this level would close BTC\u2019s CME gap and strengthen Bitcoin\u2019s position to climb even higher levels. As of this writing, Bitcoin is trading at $86,225, a 5% increase in the daily timeframe. Featured Image from Unsplash.com, Chart from TradingView.com<\/p>\n","protected":false},"author":614,"featured_media":650968,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[5651],"tags":[428,84297,11680,9960,84667,925,1119,78790,10923,86903,4313],"class_list":["post-652775","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin","tag-bitcoin","tag-bitcoin-ath","tag-bitcoin-bullish","tag-bitcoin-etfs","tag-bitcoin-open-interest","tag-bitfinex","tag-btc","tag-btcusdt","tag-crypto-market","tag-total-crypto-maket-cap","tag-us-elections"],"acf":[],"yoast_head":"\n
Bitcoin: Market \u2018Pricing In A Higher Fair Value\u2019 After 30% Surge<\/title>\n \n \n \n \n \n \n \n \n \n \n \n \n \n\t \n\t \n\t \n \n \n \n \n \n\t \n\t \n\t \n