The cryptocurrency market is closely watching the potential for a new record for Bitcoin. Technical analysis reveals significant indicators for growth and improved liquidity.
Technical Analysis of Bitcoin
A bullish engulfing pattern has formed on Bitcoin's daily chart with a 78% success rate since 2021. Out of 19 such patterns, 15 led to new local highs, making this signal one of the most reliable on the crypto market.
Liquidity and Market Capitalization of Bitcoin
Since November 2022, Bitcoin has attracted over $544 billion in capital, increasing its realized market capitalization to $944 billion. Current liquidity conditions resemble those in December 2022, when Bitcoin's price doubled in three months.
Supporting Factors in the Market
The expiration of $20 billion in Bitcoin options adds a strategic element. With $11.2 billion in call options against $8.8 billion in put options, buyers have a theoretical advantage of $2.1 billion if BTC stays above $106,000.
Given the reliable technical and fundamental factors, Bitcoin has the potential to reach new records. Liquidity conditions and institutional investments support this upward trend.
