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Bitcoin (BTC) price is poised for a rebound to a new all-time high; Here are the main reasons
After being trapped in a correction mode for the past six weeks, Bitcoin (BTC) price has established a solid support zone around $61,000. As demand for the flagship coin from institutional investors increases following the recent approval of the BTC spot ETF in Hong Kong, more cryptocurrency traders led by CryptoCapo they believe a recovery is on the horizon.
Why bet on the next Bitcoin price rebound
From a technical perspective, Bitcoin price has formed an inverted head and shoulders (H&S) pattern supported by a bullish divergence on the Relative Strength Index (RSI). According to market analysis conducted by Glassnode, Bitcoin’s ongoing macro uptrend is the most resilient in its entire history.
As a result, popular crypto analyst alias PlanB believes that Bitcoin price is on the verge of entering the parabolic phase in the coming months, based on the stock-to-flow (S2F) model. Previously, PlanB indicated that Bitcoin price is on course for at least $300,000 in this bull cycle, with a high probability of further upside.
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As the US elections approach, the main contenders, Joe Biden and Donald Trump, have differed on the topic of cryptocurrencies, in particular altcoins. On Wednesday, the US House of Representatives voted to pass a resolution against the SEC’s guidance that banks be dissuaded from holding digital assets.
Although current US President Biden has promised to veto the bill, former President Trump has promised to support the cryptocurrency market if elected later this year. Meanwhile, demand for Bitcoin remains high as more institutional investors flee the highly inflationary fiat market.