bearish tradersGet Liquidated超1億鎂！BTC狂衝7萬，3大Favourable Information準備讓它創新高？

BTC breaks 70,000, bearish traders across the network Get Liquidated over 100 million

After more than 4 months, BTC broke through the $70,000 mark again this morning (29th), reaching a high of $71,600 at one point, and is currently temporarily retreating to around $71,300.

According to the blockchain analysis platform CoinGlass, a total of 73,122 people were liquidated within the last 24 hours, with a total liquidation amount of up to 242.47 million U.S. dollars, of which the liquidation amount for short orders was about 175 million U.S. dollars. It can be seen that the big pump of BTC has caused a large-scale liquidation of shorts across the network.

BTC price rise reasons: Three major Favourable Information assist

According to the foreign media "CoinDesk" in the currency circle, the following three major events and data are one of the reasons for the rise of BTC:

Major global economies enter interest rate cutting cycle

As most major economies enter an interest rate cutting cycle, it is a Favourable Information for Bitcoin. Major central banks such as the Federal Reserve, the European Central Bank, and the Bank of England have recently started cutting interest rates, increasing the money supply and injecting a large amount of Liquidity into the market, which helps stimulate demand for risk assets such as Bitcoin from investors.

In addition, there is a school of thought that sees BTC as an 'inflation-resistant' investment target. In an environment where economic growth slows and inflation rises, they believe that investors will tend to allocate funds to BTC to mitigate inflation risk.

Institutional BTC products had an inflow of 920 million pounds last week.

According to CoinShares data, the net inflow of BTC digital asset investment products was $920 million as of the week ending October 25th, and the total inflow amount this year has exceeded $25.4 billion.

In addition, according to Farside Investors, during the week of October 18th, the US BTCSpot ETF had a net inflow of over $2.1 billion.

These funds pouring into BTC ETF represent the increasing investment willingness of institutions and retail investors, providing strong support for the bull market of BTC. Analysts point out that the inflow of funds into BTC ETF has become a major driving force behind its recent price increase.

US Presidential Election Trump Transactions

Block chain prediction market Polymarket data shows that investors believe the probability of Trump winning is 66.3%, well ahead of He Jinli's 33.8%.

Image source: Polymarket. Polymarket data shows that Trump's odds of winning far exceed those of Kamala Harris.

Although the prediction is far from traditional polling data, FiveThirtyEight's interactive polling shows that Joe Biden leads Trump by 1.4%, but it seems to have still brought upward momentum for Bitcoin.

Source: FiveThirtyEight. FiveThirtyEight's poll data shows that Hillary Clinton slightly surpasses Donald Trump.

During the election, Trump expressed his support for the development of the American Crypto Assets industry, triggering market expectations favorable to BTC. With the upcoming US election, this 'Trump trade' may further drive BTC's rise.

Is BTC ready to set a new high?

With the promotion of the above-mentioned Favourable Information factors, is BTC expected to break through its historical high?

After rising to $73,777 in March, BTC experienced more than 7 months of consolidation and pullback. Finally, it bottomed out in the Whipsaw at the beginning of September and rebounded. Recently, it has maintained a rising trend and returned to the key level of $70,000, indicating that the upward momentum may have gradually recovered.

Cryptocurrency analyst Crypto Rover is quite optimistic about the future. In his post yesterday, he pointed out that the BTC daily candlestick chart has formed a golden cross, which means that the 50-day moving average has crossed above the 200-day moving average. This usually indicates the potential for further breakthroughs in the future.

Source: Twitter analysts pointed out that the BTC daily candlestick has a golden cross of two moving averages

[Disclaimer] There are risks in the market, and investment needs to be cautious. This article does not constitute investment advice. Analysts' views are for reference only. Users should consider whether any opinions, views, or conclusions in this article are suitable for their specific situation. Investing based on this is at your own risk.