The price of Bitcoin has experienced a 6.28% increase in the past 24 hours, reaching a high of $48,200 on February 9th. Technical indicators, the surge in spot Bitcoin exchange-traded fund (ETF) shares, and on-chain data all indicate that Bitcoin (BTC) has the potential to surpass its previous high of $49,000, which was achieved after the approval of the Bitcoin ETF.
Traders have noticed a rare buy signal from the Bitcoin SuperTrend indicator. On February 8th, the SuperTrend indicator on Bitcoin’s monthly chart displayed a bullish signal when it transitioned from red to green and dropped below $44,600. This indicator overlays the chart and tracks Bitcoin’s trend, similar to moving averages. It incorporates the average true range in its calculations, allowing traders to identify market trends.
Looking back at previous confirmations from the indicator, Bitcoin experienced significant rallies of 1,336%, 1,9384%, and 713% in 2013, 2017, and 2021 respectively. As long as the indicator remains green and stays below the price, it suggests that the price momentum is in favor of traders with a bullish outlook.
Furthermore, spot Bitcoin ETF shares have continued to rally as Bitcoin’s price surpassed $47,000 on February 9th. On average, Bitcoin ETF shares gained approximately 4%. The Global X Blockchain & Bitcoin Strategy ETF saw the highest increase, rising 6.6% in the past 24 hours according to Coinglass data.
In terms of inflows, BlackRock’s iShares Bitcoin Trust remains at the top with a total of $3.23 billion as of February 8th, based on Bloomberg data. The Fidelity Wise Origin Bitcoin Fund follows closely with inflows totaling $2.8 billion. The Bitwise Bitcoin ETF and ARK 21Shares Bitcoin ETF rank third and fourth with $696 million and $695 million in total inflows respectively, as of February 8th. It is noteworthy that the total inflows for BTC ETFs have exceeded the net outflows from the Grayscale Bitcoin Trust for nine consecutive days.
This increase in the price of Bitcoin ETF shares and the positive netflow coincide with expectations of a bull run in Bitcoin’s price movement.
Data from IntoTheBlock shows that Bitcoin has found support around the $42,500 demand zone. The “in/out of the money around price” (IOMAP) model reveals that this level falls within the $41,526-$42,942 price range, where approximately 1.01 million BTC was previously purchased by around 2.61 million addresses. This level also aligns with the 50-day exponential moving average on the BTC/USD daily chart, serving as a strong defense line for the bulls.
From a technical perspective, the relative strength index indicates an upward trajectory, and the price strength at 71 supports the dominance of buyers in the market.
In the short term, traders are targeting Bitcoin price levels in the range of $48,000-$50,000.
Other factors driving Bitcoin’s upward movement in 2024 include the increasing influx of institutional investors and the anticipated halving event in April.
Please note that this article does not provide investment advice or recommendations. Every investment and trading decision carries risks, and readers should conduct their own research before making any decisions.