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Bitcoin Price Prediction: BTC at $71,600; Potential $80K Surge Amid ETF Inflows

Arslan Butt
Last updated: | 6 min read
Bitcoin Price Prediction
Bitcoin Price Prediction

Bitcoin (BTC) recently broke out of its recent $60,000 to $70,000 trading range and hit an intraday high of $71,671. However, it was unable to maintain its position above $71,000 and has lost some of its gains, falling to around $70,900.

Nonetheless, it can still be considered bullish as it has broken out of its recent barrier of $70,000. Meanwhile, the options traders expect Bitcoin (BTC) to experience a significant increase in value, potentially reaching $80,000 before the month ends, considering that it is currently only less than 4% away from its highest historical price.

However, the popular altcoins like Ethereum, Dogecoin, Ripple, Solana, and Litecoin (LTC) all saw gains as the Market Fear & Greed Index hit 78( Extreme Greed) out of 100. The global crypto market cap was at $2.64 trillion, with a 24-hour gain of 0.40%.

Fear and Greed Index
Fear and Greed Index

However, the upward trend can be attributed to multiple factors, including increasing inflows in Bitcoin spot ETFs and rising open interest in the futures market. Additionally, rising Fed rate cut bets are keeping US bond yields depressed, weighing on the US dollar and contributing to gains in BTC price.

Economic Trends Impact Bitcoin: Falling Yields and Weakening US Dollar Drive Prices Up

The US dollar has been losing strength as markets anticipate an upcoming rate cut by the Federal Reserve due to a slowing economy. This has led to US Treasury bond yields dropping to their lowest levels in over two months. Recent weak US macroeconomic data has reinforced expectations that the Fed will start cutting interest rates later this year, further depressing bond yields.

In May, the ADP reported that US private sector employment increased by 152,000, falling short of the expected 173,000 and down from the previous month’s revised 188,000.

Additionally, the ISM Services PMI rose to 53.8 in May, the highest since August, beating expectations of 50.8, though the Prices Paid sub-component decreased slightly to 58.1 from 59.2. Softer US Personal Consumption Expenditures (PCE) Price Index data indicated easing inflationary pressures.

These factors combined have pushed US Treasury bond yields lower, supporting gold prices and boosting Bitcoin prices as investors seek alternative assets amid expectations of Federal Reserve interest rate cuts.

  • ADP reported 152K jobs added in May, below the expected 173K.
  • ISM Services PMI rose to 53.8, surpassing expectations.
  • Lower bond yields and a weakening US dollar are driving Bitcoin prices up.

Kiyosaki’s Bold $350,000 Bitcoin Prediction by August 2024

Renowned investor Robert Kiyosaki has stirred excitement among cryptocurrency investors with his bold prediction that Bitcoin could reach $350,000 by August 2024. He clarifies that this is a speculative opinion, not a guaranteed outcome. Kiyosaki also expresses confidence in Ethereum and Solana, suggesting significant price increases for these cryptocurrencies as well.

Kiyosaki criticizes President Biden and SEC Chair Gary Gensler while advocating for cryptocurrency investments as a hedge against what he views as ineffective leadership. However, despite his optimism, industry experts consider his prediction unrealistic, given Bitcoin’s historical growth patterns. They caution investors to be wary of such bold forecasts.

Despite expert skepticism, ongoing demand from long-term holders and large investors (“whales”) indicates potential for growth in Bitcoin and Ethereum prices. Kiyosaki’s prediction is likely to boost short-term investor optimism, potentially leading to temporary price spikes. However, the feasibility of reaching $350,000 remains questionable due to Bitcoin’s past performance.

  • Kiyosaki predicts Bitcoin could hit $350,000 by August 2024.
  • Experts consider the prediction unrealistic based on Bitcoin’s growth history.
  • Ongoing demand from “whales” suggests the potential for Bitcoin and Ethereum price increases.

Bitcoin Whales Accumulate Over 40% of the Supply

On-chain data indicates that Bitcoin whales, defined as addresses holding more than 1,000 BTC, now control over 40% of the total Bitcoin supply. This accumulation trend has been steady since mid-March, signalling a bullish sentiment among these influential investors. The rising balance in their holdings highlights their confidence in Bitcoin’s future potential.

Market concerns often arise during periods of price consolidation. However, whales view these times as opportunities to accumulate more Bitcoin. Their buying activity can support short-term price growth, although the concentration of supply in fewer hands might impact Bitcoin’s decentralization and market dynamics in the long term.

Additionally, CryptoQuant reports that total Open Interest in the cryptocurrency sector is nearing its all-time high of $51.01 billion. This heightened interest underscores the significant activity in the market.

The continued accumulation of Bitcoin by whales, now holding over 40% of the supply, suggests a strong bullish sentiment. This trend is likely to bolster short-term price growth, although investors should remain aware of the potential long-term implications.

  • Bitcoin whales now hold over 40% of the total supply, indicating bullish sentiment.
  • Accumulation by whales supports short-term price growth.
  • Total Open Interest in the cryptocurrency sector is nearing its all-time high at $51.01 billion.

Bitcoin Price Prediction

Currently, Bitcoin (BTC/USD) is priced at $70,900, marking a slight dip of about 1%. The pivot point, or the green line, is set at $70,600, acting as a critical juncture in today’s trading dynamics and hinting at a potential upward Bitcoin price prediction.

The first resistance level above this pivot point stands at $71,800, with further resistance expected at $72,500 and $73,100. Conversely, if Bitcoin moves downward, the immediate support level remains at $70,600, with additional support at $69,650 and $68,500.

The price pattern has recently shown a bullish breakout from a symmetrical triangle formation at the $70,600 level, which continues to support Bitcoin. The 50-day Exponential Moving Average (EMA) at $69,000 and the Relative Strength Index (RSI) at 66 also suggest a prevailing buying interest.

Bitcoin Price Prediction - Source: TradingView
Bitcoin Price Prediction – Source: TradingView

Currently, a double-top pattern near the $71,800 resistance is challenging further gains. However, increased buying pressure could enable Bitcoin to breach this level and aim for $72,500.

Consider buying Bitcoin if it sustains above the $70,600 mark to capitalize on potential gains toward $71,800 and $72,500. A drop below $70,600 might indicate a shift to a bearish trajectory.

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