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Bitcoin Network Reaches Milestone Amidst Price Challenges

Jun 4, 2024

The price of Bitcoin faces challenges in surpassing a significant resistance level, but the Blockchain network achieved a crucial milestone in late May. Data shows that on May 28, the value of Bitcoin transactions surpassed $25 billion, marking a notable increase compared to the previous year in USD terms. Despite the struggle in price, the surge in transaction value indicates ongoing growth and acceptance of the Bitcoin network. Around 367 thousand BTC were transferred on May 28, the highest volume since June 13, 2022. The transaction volume reached $25.5 billion, with Bitcoin's price above $69,000 playing a key role. Despite the rise in transaction value, the actual number of transactions remained relatively low at about 597 thousand. Bitcoin's price stability around $69,000 is credited to a demand zone from $66,900 to $68,900, where a significant accumulation of BTC occurred at over two million wallet addresses. This accumulation acted as a crucial support level during market fluctuations, ensuring Bitcoin's value retention. Despite discussions on spot Ethereum ETFs, investor interest remains primarily focused on spot Bitcoin ETFs. The launch of spot Bitcoin ETFs since January has garnered substantial investments, with institutions showing keen interest. The Wisconsin State Investment Board approved a $160 million investment in a spot Bitcoin ETF on the recommendation of a university professor who highlighted its strategic value. The introduction of spot Bitcoin ETFs in the US in January has opened up new avenues for investors, attracting institutional attention. Analyst Peter Brandt, drawing on his extensive experience in financial markets, predicts Bitcoin could reach $130,000 by 2025, based on historical post-block reward halving cycles.

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