The recent rally in Bitcoin has reignited investor interest. Since August, growing investor confidence in Bitcoin has led to increased BTC withdrawals from exchanges, signalling that investors are accumulating Bitcoin for the long term and maintaining positive expectations for the market’s future.
Support Levels for Bitcoin and Altcoins
Bitcoin’s price surged over 8% to break through the $74,000 mark, driven by election-related momentum. After bouncing off the $68,248 support level, new support zones have emerged at $73,773 and $71,367. However, analysts warn that the price could stabilize around these levels if investors opt to take profits at these levels. Some experts are warning of the possibility of a sharper pullback in the market.
This upward trend has also affected altcoins. Ethereum (ETH) rose 6.6% to $2,589. Solana (SOL) was up 15.1%, Dogecoin (DOGE) jumped 25% and XRP was up 4.9%. Dogecoin, in particular, gained attention following Donald Trump’s election victory and Elon Musk’s continued support, which boosted interest in the meme coins. In addition, Avalanche (AVAX) was up 13.3% and SUI (SUI) was up 20%.
Trump’s support for cryptocurrencies and future outlook
Donald Trump’s support for cryptocurrencies during his election campaign has created positive sentiment among Bitcoin investors. Trump stated that the US government would not sell its BTC holdings under his leadership and expressed his goal to make the US a bitcoin superpower. He frequently reiterated his confidence in bitcoin, advising “never sell your bitcoins”. Furthermore, his promise to remove SEC Chairman Gary Gensler, who is known for his negative stance on cryptocurrencies, has further raised investor expectations.
Bitcoin hits record high: Will the rally continue? Here are the new critical levels
The recent rally in bitcoin has reignited investor interest. Since August, growing investor confidence in Bitcoin has led to an increase in BTC withdrawals from exchanges, suggesting that investors are accumulating Bitcoin for the long term.
Bitcoin is currently trading at around $74,700. The surge observed during the election period is seen as a potential precursor to a new record high, fuelling optimism among crypto investors.
