The current price of Bitcoin is slightly above the 2021 peak of $69,000 and higher than the weekly support level of $61,782 in the early hours of Monday.
Today, the price reached an all-time high of $70,600. However, this historic move, while highly positive, triggered a massive liquidation event, closing billion-dollar positions in the market in the past few hours.
Cryptocurrencies associated with Bitcoin, such as Stacks (STX), THORChain (RUNE), and LENDS, experienced a recovery with Bitcoin’s price rise and continued dominance in market value. The upcoming Bitcoin halving event scheduled for April 21, lasting 42 days, is expected to boost gains in tokens linked to Bitcoin.
Notably, beta releases of Bitcoin have emerged as a class of tokens gaining profits for holders ahead of Nakamoto’s upgrade scheduled for April.
STX rose by approximately 13% on Sunday, achieving a 7% weekly gain. The RUNE token, representing a decentralized exchange enabling cross-chain swaps, reached its highest value in almost 22 months in Total Value Locked (TVL). LENDS, possibly a test version of RUNE, belonging to the THORChain system, rose by around 12% today and recorded a weekly gain of nearly 90% for holders.
Bitcoin’s price is nearing $71,000, with a weekly gain of around 13%. Despite optimistic fundamental and technical backgrounds, investors should not be surprised if Bitcoin takes a breather, moves sideways, or even experiences a dip in the coming days or weeks.
While some cryptocurrencies quickly recovered losses, others declined. Investors are now wondering what’s next for the cryptocurrency market. In my view, with no imminent significant news threatening regulation or crypto companies, Bitcoin’s price is expected to continue rising above $71,000, a key psychological level.
The imbalance area between $59,313 and $53,015 could serve as a good momentum-gathering place if Bitcoin drops to this level before the halving event.
The recent upward movement is likely driven by institutional flows and liquidity resulting from the approval of exchange-traded funds, and retail capital has not fully entered the scene yet. When retail investors step in, the expected Bitcoin price surge could propel it toward $100,000 in the medium to long term.
Recent news indicates that major companies and telecommunications firms are preparing to buy large quantities of Bitcoin, causing the recent price jump to $71,020.
I believe Bitcoin retains its upward momentum that began in 2023. However, caution is advised for current purchases, as a repeat of Bitcoin’s 2021 price movement may lead to significant sell-offs to the support level of $43,786 or slightly lower. This level could potentially form a bottom before the halving event, initiating another massive rally, possibly reaching $100,000 or higher.
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