The month is closing with Bitcoin trading at a significant high and up by a notable margin. Several events went down over the last thirty days, which resulted in the latest readings.
While some are bearish, the bulls were mostly dominant during this period. Several fundamentals played out in favor of the bulls, and several made the rounds.
Michael Saylor, a company co-founder, stated that he wants to Microstrategy, a major Bitcoin bank. He disclosed this information in an interview with analysts from the brokerage firm Bernstein. MicroStrategy’s long-term wager on the top cryptocurrency coincides with Saylor’s beliefs that Bitcoin is the best-performing digital asset of the twenty-first century.
Bitcoin has also seen massive outflow into ETFs since its launch. According to a new analysis by IntoTheBlock, US spot Bitcoin ETFs presently own about 5% of the total supply of Bitcoin (BTC). These ETFs hold over 920,000 BTC, demonstrating increased institutional participation in cryptocurrency.
The demand for exchange-traded funds hit a new high. On Tuesday, US spot Bitcoin ETFs had net inflows of more than $870 million, the most since June 5.
Saylor recently made a comment that rattled the crypto industry. He stated in a recent interview that keeping Bitcoin with big banks and other third parties could be safer than having individual investors handle their money. When asked if this strategy may result in centralization and increase the possibility of government confiscation, he defended the advantages of third-party custody.
By the end of the year, Microsoft’s shareholders will decide whether the US computer giant should officially consider including Bitcoin (BTC) on its balance sheet.
The major bearish fundamental that sparked notable declines during the previous weeks was mainly tension from the Middle East.
Bitcoin Hits New ATH
While election thrills took the first place in the factors contributing to the most recent surges, Bitcoin saw a massive price surge that sent it to new highs.
One such event occurred on Tuesday, as trading started at $69,900 but continued until it edged close to its all-time high, peaking at $73,600. It traded a few dollars shy of the ATH but achieved this milestone in other currency pairs.
One such is the Mexican Pesos. The apex coin opened trading at $1,399,390 but surged like other pairs, hitting its second-highest peak at $1,476,281. The latest high is barely Ps100,000 from the previous ATH.
The apex coin reached a new all-time high on Tuesday’s BTC/EUR exchange, surging from 64,674 Euro to 68,000EUR, breaking the previous milestone by a few digits.
It is worth noting that the coin had several bearish moments, with prices significantly dipping. One such event occurred on the first day of the month after the BTC/USD pair started the day at $63,300 but retraced after a failed attempt at surging. It hit a low of $60k before rebounding.
Another notable decline happened a few days later, with the apex coin dipping below $60k. It rebounded at $58,867 and ended the day at its opening price. The most recent happened last week, dipping to $65,200 after trading kicked off at $68,200.
Bitcoin is seeing a significant decline at the time of writing. It is down by almost 3% and shows no signs of recovery. Onchain data are negative.
Increased Selling Pressure
Onchain data show massive funds outflow from the two key regions. Traders from the United States are out of the buying frenzy and are taking profit at the time of writing. The Coinbase premium is negative as the selloffs continue. This is not isolated as South Korean investors pull funds from the asset, joining the bearish trend.
Onchain indicators like the Net Unrealized Profit and Loss show massive unrealized profit at the time of writing. There is a considerable chance of the current sentiment worsening with more investors turning bearish. This is what the aSOPR points to. It is negative as some wallets are realizing profit. Miners are also mildly selling, increasing the selling pressure.
Exchange reserves are slightly increasing as the selling frenzy continues. They are down by 007% but remain lower on the seven-day scale. Nonetheless, traders are increasingly depositing their assets into these trading platforms. Such actions show more pressure and impending price declines.
The Derivative market is teeming with activity as liquidations increased over the last 24 hours, exceeding $206 million. Long positions account for the bulk of the declines due to the declines—nonetheless, open interest surges by over 92% as traders open more positions. Funding rates also increase for this reason.
How Will Bitcoin Perform in November?
The one-chart points to possible declines during the first few days of the month. The ongoing decline is a clear indication as the selloffs kicked off. Indicators hint at further decline, but not for long. It is worth noting that one of the triggers for the previous uptrends is the upcoming US elections. It may continue causing significant price increases in the days leading to it.
Nonetheless, the Bollinger band shows that the apex coin attained a high on Tuesday, which indicated it was due for a correction; it broke above the upper band. Currently trading at $69,800, it is back below the mark and may see slight declines before a rebound.
The moving average convergence divergence prints bearish signals at the time of writing. The 12-day EMA is on the downtrend, and as selling congestion increases, it may intercept the 26-day EMA in the coming days if trading conditions do not improve.
The relative strength also declines as selling pressure mounts. The average directional index points to the downhill movement continuing as the asset loses momentum.
