Bitcoin’s (BTC) price surged in overnight trading to hit a fresh 2024 high of $57,465 on Coinbase, its highest price since December 3, 2021, and the second-largest price surge of 2024.
Data provided by TradingView shows that in 24 hours, Bitcoin’s price increased from $51,215 to $57,465, representing a gain of 12.21%. After a brief pullback to $56,665, bulls now look to extend the rally, with $58,000 as the next resistance to overcome.
BTC/USD Chart by TradingView
Ethereum (ETH) also climbed to a new 2024 high of $3,292, its highest price since April 10, 2022, and an increase of 8.4% over the past 24 hours.
ETH/USD Chart by TradingView
Both Bitcoin and Ether have been on non-stop rallies since October, more than doubling in price during that time, lifting BTC's market cap back above $1 trillion while its price now trades less than 18% off of its all-time high near $69,000.
Many analysts had been calling for a significant pullback in BTC price as previous bull markets showed 10-20% corrections following price surges in the lead-up to a halving. But heavy spot BTC ETF inflows have limited downside pressure, putting many derivatives traders on the wrong side of the bet, as data from Coinglass shows that more than $200 million worth of short positions were liquidated over the past 24 hours.
Indeed, the momentum and demand brought by the Bitcoin ETFs, and speculation about the approval of the first spot Ether ETFs, have introduced a new paradigm into the cryptocurrency market cycle that could see this bull market behave like none of the ones that came before.
“In a world where digital currencies are increasingly becoming the backbone of a new financial paradigm, the recent surge in Bitcoin and Ether prices is as strong as it is fast,” said Mikkel Morch, founder of digital asset investment fund ARK36. “As Bitcoin breaks through the $57,000 barrier, reaching a zenith not seen in two years, and Ether ascends past $3,200 for the first time since 2022, we are witnessing a watershed moment in the cryptocurrency realm. Most positively seen we could see a new ATH in the next few weeks.”
Morch said this rally “is not just numbers on a chart; it's a declaration of the confidence among institutional investors in the transformative potential of cryptocurrencies. The recent acquisition by MicroStrategy of approximately 3,000 bitcoins for $155 million is a testament to the growing institutional endorsement that's fuelling this rally. Moreover, the green light for Bitcoin-owning ETFs in the United States has injected a fresh wave of optimism, propelling trading volumes and spotlighting crypto-linked firms amidst a broader market fraught with apprehension.”
He called the soaring price of BTC and ETH “a paradigm shift,” and said, “The impending Bitcoin halving event in April, poised to further constrict the supply of this digital gold, is only adding fuel to the fire, igniting speculation and investment alike.”
And perhaps most significantly, Morch said this rally “is not confined to the ledgers of crypto investors; it's permeating the broader economic fabric. Reddit's strategic move to diversify its cash reserves into Bitcoin, Ether, and Matic signals a broader acceptance of cryptocurrencies as a legitimate asset class.”
“The anticipation swirling around the approval of spot Ether ETFs further underscores the maturation of the cryptocurrency market,” he said. “It's a recognition of Ethereum's role not just as a digital currency but as an infrastructure backbone for a future where finance and technology merge more seamlessly.”
“As big buyers circle, their actions speak louder than words, signaling confidence in the power and use case of cryptocurrencies. This is not just a rally; it's a permanent transformation of the financial industry,” Morch concluded.
Athena Miao, Chief Commercial Officer at BigONE, also sees the potential for Bitcoins rally to extend in the weeks ahead, propelling the top crypto to a new all-time high before the halving – the first time such a development would occur.
“Considering the expected influence of the Bitcoin halving event, along with the anticipation of a dovish cycle in the U.S. macroeconomic landscape, particularly with regard to interest rate cuts, it is projected that Bitcoin could surpass its previous all-time high of over $69,000 prior to the halving,” Miao said in a note to Kitco Crypto.
“Following the halving event, and bolstered by favorable macroeconomic conditions, Bitcoin is anticipated to reach the $100,000 milestone towards the end of the year,” she added. “Moreover, Bitcoin’s market capitalization is poised to retest the $3 trillion mark in the foreseeable future, reflecting a bullish outlook influenced by both internal dynamics within the cryptocurrency space and external economic factors.”
