Bitcoin surges past 21% to retest $65K level
Technical indicators show strong momentum, but Bitcoin must break a critical descending trendline to confirm a sustained bullish rally.
Bitcoin has retested the $65,000 resistance level, driven by continued accumulation from whales and sharks. The cryptocurrency has surged by over 21% this month, signalling a technical bull market. MicroStrategy, the largest corporate Bitcoin holder, has played a pivotal role in this push, purchasing an additional $458 million worth of Bitcoin and bringing its total holdings to 252,220. Institutional investors have also been active, with over $600 million inflows into Bitcoin funds this month.
Several factors are behind these gains, including falling interest rates, increased global money supply, and stimulus measures like China’s plan to inject $142 billion into its economy. Investors increasingly turn to Bitcoin as a hedge against rising US public debt, which has now surpassed $35.4 trillion. Technical indicators, such as the formation of an inverse head and shoulders pattern and a rising RSI, point to strong momentum building.
Despite this positive outlook, Bitcoin’s next key test lies in overcoming a critical descending trendline that has persisted since March. A clear breakout above this line must confirm a sustained bullish rally.
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