Bitcoin continued its upward momentum, gaining 2.4% in value and reaching local highs of $61,424 on Bitstamp, according to data from TradingView.
This surge marked a significant contrast from the week's earlier performance, leading analysts to express optimism about the broader macroeconomic landscape.
In its latest market bulletin shared with Telegram channel subscribers, trading firm QCP Capital highlighted a trend of "re-leveraging" among stock traders as a key factor driving the equities market.
“Corporate share buybacks have surged to $1.15 trillion this year. Goldman Sachs’ trading unit has seen record client demand for dips,”
QCP Capital noted.
Earlier, Bitcompare pointed out the lack of correlation between cryptocurrency and equities, while gold recently reached new all-time highs.
“Risk-on sentiment could extend to crypto and gold, pushing BTC higher given the strong demand for topside calls,” QCP suggested.
Market participants are now looking forward to further insights on U.S. financial policy, expected from the Federal Reserve’s annual Jackson Hole symposium at the end of the week. Historically, the S&P 500 has shown a tendency to rally following Jackson Hole events, fueling speculation about a similar outcome this year.
Bitcoin's Price Range Remains a Key Focus
Despite the recent gains, Bitcoin's price is still within a downward-sloping range and has yet to break through the crucial resistance level near $70,000.
“Bitcoin squeezed through the 59.5k level overnight, taking liquidity above the weekend highs and hitting the upper trendline,” noted popular trader Mark Cullen, who also shared a chart illustrating Bitcoin's current range.
“Can $BTC hold 60K now and make a run for the liquidity above the early August highs in the low to mid 60Ks?”
Trader and analyst Rekt Capital observed that Bitcoin's recent price movements resemble those seen since March's record highs. “History has repeated itself,” he remarked, referring to the price range. “Bitcoin is now trying to confirm a reclaim of the Channel Bottom as support. Weekly Candle Close above the Channel Bottom would be bullish.”
Meanwhile, Credible Crypto, another analyst, shared a cautious outlook, predicting sideways price action in the short term. “Still expect the green zone to hold for now if we do get that, but this range may take a bit longer to play out at the same time,” he stated, referencing a chart that showed support at $56,000.
