TL;DR
- Bitcoin has surged over 40% since October 13, with traders optimistic about its future growth, noting that profit-taking is currently only about half as intense as during previous all-time high cycles.
- Following the U.S. presidential election results, which indicated a more crypto-friendly stance under the Trump administration, Bitcoin reached a new all-time high.
- Glassnode’s research highlights strong market fundamentals and institutional interest supporting Bitcoin’s rally, suggesting that current market conditions are conducive to sustained growth with further gains likely in the coming months.
Bitcoin has skyrocketed over 40% since October 13, and traders remain optimistic about its future growth. They note that profit-taking is currently only about half as intense as it was during previous all-time high cycles. According to Glassnode’s latest research, several key factors have contributed to this impressive rally, and the potential for further gains remains strong.
Post-Election Boom: Bitcoin’s Record Rally
Following the U.S. presidential election results, which indicated a more crypto-friendly stance under the Trump administration, a positive signal resonated through the crypto market, driving Bitcoin to a new all-time high. This surge to ATH was mirrored across all major BTC: Forex pairs.
On-chain data shows the drawdowns from ATH for Bitcoin (BTC) paired with various fiat currencies and gold (XAU). Notably, the BTC: TRY (Turkish Lira) pair was the first to reach its ATH on June 26, 2024, before other pairs followed.
By November 6, 2024, nearly all BTC: Forex pairs had reached new ATHs, except BTC: Gold, which remains approximately 19.9% below its ATH despite Bitcoin’s current valuation at $88.6k.
Profit-taking and Market Sentiment
Glassnode reported that “realized profit volumes” have averaged around $1.56 billion per day since Bitcoin surpassed its March all-time high of $73,679 on November 5. This figure is roughly half of the $3 billion per day recorded during the previous cycle’s March all-time highs.
Following increased confidence after Donald Trump’s presidential election victory, Bitcoin surged past $85,000 on November 11, achieving its best daily gain ever by soaring $8,400.
According to TradingView data, the cryptocurrency continued its strong upward momentum, reaching a high of $90,100 on November 12 before cooling to trade at $87,534.
Swan Bitcoin CEO Cory Klippsten remarked that it is remarkable that after such a significant surge over the weekend on weak volume, Bitcoin is still maintaining its current price level.
Future Prospects
Glassnode’s research indicates that Bitcoin’s rally is supported by strong market fundamentals and institutional interest. The firm suggests that the current market conditions are conducive to sustained growth, with further gains likely in the coming months.
