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Bitcoin: The reasons behind the spectacular rise of the leading cryptocurrency

Tue 27 Feb 2024 ▪ 3 min of reading ▪ by Luc Jose A.
Getting informed ▪ Trading

Bitcoin (BTC) is witnessing an epic surge. Less than a week ago, the flagship crypto already particularly surprised with a record rise brushing against $53,000. The asset stuns again by breaking the key resistance of $55,000. The reasons for this spectacular surge in this article.

Le logo du bitcoin, la crypto phare

The Drivers of the Bitcoin (BTC) Surge

Bitcoin (BTC) continues to confirm the expectations of asset manager VanEck regarding its resurgence in 2024. Following a recent surge that pushed the valuation of the flagship crypto beyond $52,000, the asset has now made another remarkable breakthrough.

This has taken the market value of the queen of cryptos around $57,300. Bitcoin has broken the $55,000 resistance by gaining 11.14% on its valuation within a short 24-hour period! Enough to stir the enthusiasm of investors.

This notable increase in the price of bitcoin is the result of several factors. On-chain data suggest the primary and main factor as the interest of institutional investors supported by the optimism of the crypto market.

According to these data, there is a constant accumulation of bitcoins by whales. A trend that indicates a strong bullish sentiment in the long term suggesting the enhanced attractiveness of the asset among discerning investors looking for sustainable profits.

What About the Consequences of this Bullish Trend in BTC?

As Bitcoin (BTC) appears to be in a series of remarkable breakthroughs in recent days, what can we expect in terms of the prospects for the flagship crypto? Some analysts recently answered this question.

Someone like Michaël van de Poppe boldly predicted a 40% collapse in the valuation of bitcoin in a context of macroeconomic austerity. For the moment, this prophecy does not seem to follow the announced direction.

Robert Kiyosaki, the investor who needs no introduction, put his finger in the fire predicting a rise in BTC to $100,000 by June 2024. With a bitcoin price at $57,300, trends seem to prove him right.

It is interesting to note that despite this bullish sentiment, short sellers betting against bitcoin are reinforcing the market optimism. A divergence that suggests a continuation of the rise in the bitcoin price (BTC), at least in the short term.

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Luc Jose A. avatar
Luc Jose A.

Diplômé de Sciences Po Toulouse et titulaire d'une certification consultant blockchain délivrée par Alyra, j'ai rejoint l'aventure Cointribune en 2019. Convaincu du potentiel de la blockchain pour transformer de nombreux secteurs de l'économie, j'ai pris l'engagement de sensibiliser et d'informer le grand public sur cet écosystème en constante évolution. Mon objectif est de permettre à chacun de mieux comprendre la blockchain et de saisir les opportunités qu'elle offre. Je m'efforce chaque jour de fournir une analyse objective de l'actualité, de décrypter les tendances du marché, de relayer les dernières innovations technologiques et de mettre en perspective les enjeux économiques et sociétaux de cette révolution en marche.

DISCLAIMER

The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.