Bitcoin Nears All-Time High With Stable Metrics, Signaling Strength for Further Upside – K33 Research

Bitcoin (BTC) is not showing signs of a frenzy unlike March, indicating room for further price growth, according to K33 Research. report published October 29.

At press time, BTC was trading at $73,500, about $300 away from a new all-time high.

Despite the impressive gain of over 8% over the past week, Bitcoin’s trading volumes remain subdued. Daily trade volume averages $2.6 billion, almost half of the levels seen in the first quarter of the year. TThe relatively calm market activity suggests healthy, gradual accumulation rather than panic-driven buying.

Additionally, Ethereum (ETH) is lagging, with the ETH/BTC trading pair hitting a multi-year low, reflecting a shift in focus of the crypto space towards Bitcoin.

According to the report, Bitcoin’s latest rally to all-time highs was devoid of the typical euphoria. This makes Bitcoin a maturing asset poised for sustained momentum amid favorable market conditions and upcoming electoral influences.

Increased institutional demand

Current futures market conditions reveal a more balanced and less leveraged environment compared to March and April, when speculative trading was rampant.

Bitcoin’s annualized funding rates now average 10.83%, significantly lower than the high rate of 32.17% seen in the first quarter. This suggests a calmer, more measured approach from investors.

CME futures also reflect this stability, as their premiums remain closer to average funding rates than the sharply divergent first quarter numbers.

The report adds that exchange-traded fund (ETF) flows show strong institutional interest, and this demand supports expectations of continued gains, especially as retail investors demonstrate much less urgency in the current recovery.

Furthermore, recent notional flows have reached averages above the first quarter peak, thus reinforcing the institutional interest thesis.

Imminent elections

In line with other analysts’ expectations, K33 Research predicts potential gains for the crypto market if former US President Donald Trump wins the race.

With favorable odds and several campaign promises tailored to a pro-digital asset regulatory stance, the report highlights that Trump’s victory could trigger a surge in the crypto market.

Conversely, Vice President Kamala Harris’ victory could temper this momentum, although it could also be less hostile to the crypto industry in the United States. So, a Harris term could remove some uncertainty from the market, thereby favoring the Bitcoin and crypto market.

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