Bitcoin has reached a new record high of $89,863 amid increasing demand and limited supply. The recent post-2024 halving supply shock has fueled demand, leading to expectations of further price increases. This milestone marks a significant achievement for Bitcoin, which has climbed 10.80% in the past 24 hours, now trading near $89,871.28.
Trading volume has also surged to $132.32 billion, up by 55.01%, with Bitcoin’s market cap at an impressive $1.76 trillion, holding 58.90% of the crypto market despite a slight 0.05% dip from yesterday.
Bitcoin expert and author Jesse Myers credits this rally to the supply shock triggered by the 2024 halving, which slashes new supply by 50% every four years. Myers highlights how this cycle creates a supply-demand imbalance, where dwindling supply coupled with high demand drives prices upward. He points to similar post-halving bull markets following the 2012, 2016, and 2020 events, suggesting we may be in the early stages of a post-2024 bull market that could potentially lead to a new price bubble.
Bitcoin Bulls Ride on Record Inflows and Bullish Signals
U.S. Bitcoin ETFs have seen $1.094 billion in inflows, marking the second-largest on record and underscoring strong institutional backing. This influx reinforces Bitcoin’s current price momentum, echoing a broader trend of major capital inflows into digital assets.
Large “whale” transactions indicate growing investor interest. Recent movements include 3,000 BTC ($253.88 million) and 2,000 BTC ($169.26 million) transferred between unknown wallets. Additional transactions of 2,070 BTC ($182.83 million) and 2,307 BTC ($204.94 million) were also noted, with the latter originating from Mt. Gox to an unidentified wallet.
Technical indicators suggest a continued bullish trend. Bitcoin’s support level stands around $77,731, with resistance near its all-time high of $89,604. A breakthrough at this resistance level could drive prices even higher. The Relative Strength Index (RSI) is at 84.55, above its average of 67.19, indicating overbought conditions but also strong demand. Moving averages also display a positive crossover, typically signaling continued upward momentum.
