This week, Bitcoin hit a new all-time high. Analysts highlight the market's resilience against overheating and its potential for further gains.
Fundamentals and Analyst Opinions
According to Alex Thorn, Galaxy’s Head of Research, the Bitcoin market does not appear overheated from a fundamental perspective. Nansen analyst Aurelie Barthere concurs, emphasizing that surpassing the previous all-time high with heavy trading volume signals continued positive momentum.
Post-Election Bitcoin Interest Surge
Following Donald Trump's presidential election victory, traders have been eager to reinvest, contributing to the surge in crypto prices. Bitcoin's Open Interest in unsettled derivative contracts has also risen to new yearly highs. Meanwhile, steady funding rates suggest trader optimism.
Technical Forecasts and Economic Influences
Thorn believes Bitcoin and other cryptocurrencies will likely trade significantly above current highs over the next 12-18 months. Technical analysts predict Bitcoin could rally to $78,000 to $85,000. The U.S. Federal Reserve's recent rate cut may also positively influence crypto assets.
Bitcoin shows resilience and potential for further growth amid positive fundamental indicators and economic conditions. Analysts remain optimistic about its near-term prospects.