- In the early days of 2023, Bitcoin (BTC) surpassed $35,000 in price, with trading volume surging by 187% to reach $50 billion, and the market cap increased by 13% to $676 billion.
- Optimism surrounding the approval of a spot BTC ETF in the United States was one of the significant factors behind substantial rallies, taking Bitcoin from initially breaking $30,000 to now $35,000.
- Interest in Bitcoin continued after BlackRock ETF appeared on the Depository Trust & Clearing Corp. (DTCC) website during Tuesday’s Asian hours.
Bitcoin reached an important level at $35,000 with the BlackRock news: what happens next? Is $45,000 the target?
Bitcoin Price Hits $35,000 Resistance
In the early days of 2023, Bitcoin (BTC) surpassed $35,000 in price, with trading volume surging by 187% to reach $50 billion, and the market cap increased by 13% to $676 billion. The rally began last week with fake news about a BTC spot ETF offer from BlackRock, attracting investors, especially institutions, to satisfy their risk appetite.
According to market data, Bitcoin’s price has increased by 13% over the last 24 hours, 21.5% over the last seven days, and 30.5% over the past month. It’s currently trading at around $34,520 on Tuesday. From a technical standpoint, the bull market seems to be in good shape without signs of weakening the uptrend. The confirmation of the rising triangle formation points to a larger breakout at $45,711, but let’s examine the forces behind the rise above $35,000 first.
Institutional investors are not hesitating to allocate their positions and benefit from the sudden Bitcoin price rally. The optimism surrounding the approval of a spot BTC ETF in the United States has been one of the critical factors behind significant rallies, initially pushing above $30,000 and now towards $35,000.
During Tuesday’s Asian hours, interest in Bitcoin continued after the BlackRock ETF appeared on the Depository Trust & Clearing Corp. (DTCC) website. Additionally, Bitcoin futures open interest (OI) on the Chicago Mercantile Exchange (CME) exceeded 100,000 BTC for the first time in history, indicating increased appetite among institutional investors for the most prominent cryptocurrency.
Expectations for Bitcoin Price Hitting $45,000
Bitcoin broke above an ascending triangle pattern with a 49% breakout target, overcoming resistance at $30,806. Trading above the X-axis ($30,806) confirmed the breakout from the triangle with a massive surge in trading volume. Traders were expected to place buy orders just above the X-axis, triggering gains aiming for $45,771.
The relative strength index (RSI), currently at 61, continues to move north with strength, supporting a robust uptrend. Furthermore, Bitcoin’s price remains above all bull market indicators, such as the 21-week Exponential Moving Average (EMA), 100-week EMA, and 200-week EMA.
For now, traders should observe how Bitcoin reacts to the $35,000 immediate resistance. Holding above this level could serve as confirmation for the bulls to push the triangle breakout towards $45,771. On the downside, a pullback could provide an opportunity for sidelined investors to seek support from selected moving averages at $28,200, $27,901, and $25,797.
Crypto analyst Rekt Capital suggests not feeling left behind by this move in Bitcoin’s price and advises viewing it as an opportunity for accumulation when the inevitable pullback occurs in the coming months. FOMO can lead many investors to think they’ve missed out on the bull market, but as Rekt Capital puts it: “Market cycles are long, there are always breakout rallies, and there are always pullbacks. Another opportunity always presents itself.”
