Bitcoin is currently on the verge of reclaiming the $40,000 level as it seeks a new all-time high. Speculation surrounding the potential approval of a spot exchange-traded fund (ETF) by United States regulators has fueled this upward trend.
The news of the ETF approval, combined with the upcoming halving event, is widely seen as a catalyst that could propel Bitcoin to another record high. However, renowned crypto analyst TradingShot suggested in a TradingView post on December 1 that Bitcoin might be on the verge of a significant global money supply rally, challenging traditional halving theory.
The potential rally is closely tied to two key indicators of the global money supply: Chinese bond yields and the Chinese Yuan. According to TradingShot, Bitcoin historically bottoms when the Yuan trend-line does, and its parabolic rally starts when the Chinese bond yield trend-line hits a lower low. The current situation indicates an upward movement in the Chinese bond yield trend line after recently hitting a low, suggesting a possible early start to a new parabolic rally for Bitcoin.
Indeed, Bitcoin has surged to its highest point since May 2022, heightening the probability of the cryptocurrency reaching $40,000. The recent upswing in value, coupled with optimism surrounding potential interest-rate cuts by the Federal Reserve and the anticipation of the US approving its first-ever spot Bitcoin ETF, has led to a significant rebound for Bitcoin.
As of December 1, 85% of Bitcoin addresses were in profit, contrasting with 11% in loss and 4% at break-even, marking the asset’s highest profitability in over two years.
By press time, Bitcoin is trading at $38,755, showcasing daily gains exceeding 1%. Technical analysis suggests that Bitcoin is predominantly influenced by bullish sentiments and appears to be on its way to $40,000, a crucial level that could pave the way for a new record high.
Additionally, it is important to note that the content on this site should not be considered investment advice, as investing in Bitcoin is speculative and carries risks.
.png)
0 Comments