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Crypto Surge: Bitcoin Rockets to $44K on Coinbase, Eyes $48K Resistance, Insights from LMAX Analyst

Crypto Surge: Bitcoin Rockets to $44K on Coinbase, Eyes $48K Resistance, Insights from LMAX Analyst

Bitcoin

HANZO

Dec 6, 2023 at 08:47 am

The abrupt surge in the value of Bitcoin, surpassing $44,000 on platforms such as Coinbase, triggered liquidations totaling $73 million, impacting primarily leveraged positions that were betting against the cryptocurrency's upward trend.

This sudden increase on Tuesday afternoon marked the highest point Bitcoin had reached since the early days of April 2022. The impetus behind this surge is attributed to a combination of decreasing interest rates and the anticipation surrounding the potential approval of a spot Bitcoin exchange-traded fund (ETF) in the United States.

The market's volatile activity resulted in the liquidation of $73 million in leveraged bitcoin derivatives trading positions, predominantly shorts that were speculating on a decline, as indicated by Glassnode data.

The ongoing surge in Bitcoin is propelled by a convergence of factors, including heightened interest from institutional investors and the anticipation of imminent regulatory approval for spot-based BTC ETF listings in the U.S. Joel Kruger, a market strategist at LMAX Group, communicated this in an email, emphasizing the increased accessibility of the asset for traditional players.

Kruger outlined a well-defined upward trajectory for Bitcoin's price momentum, charting a course towards the range between $48,000 and $53,000. This analysis is rooted in technical price levels, specifically referencing the peaks reached in March 2022 and September 2021.

Bitcoin Nearing Key Resistance: LMAX's Kruger Points to March 2022 and September 2021 Highs on TradingView

According to Kruger, a favorable zone exists between these two levels with minimal resistance, creating a pathway for further upward movement in Bitcoin's price until it attains the peak from March 2022. The current positive sentiment and these technical indicators collectively paint a promising outlook for the continued ascent of Bitcoin.