The cryptocurrency has recently reached an unprecedented high against the euro and is approaching a historical peak in U.S. dollar terms. Markus Thielen, the head of research at 10x, predicts that Bitcoin will attain a new all-time high by the end of the week. In his analysis titled "Everybody Will Be Astonished by Bitcoin’s Price Action This Week," Thielen emphasizes the significance of weekend price movements. Despite attempts to liquidate leveraged long positions, there is a notable absence of sellers.
As of Monday, Bitcoin had achieved a record high in euro terms, trading slightly above $67,000, reflecting a 6% increase in the past 24 hours. This places it within 3% of its previous USD peak of $69,000 in November 2021. The broader CoinDesk 20 Index (CD20) also exhibited a 5.5% increase during this period.
Thielen highlights optimistic indicators, including a substantial decrease of 63,000 bitcoins withdrawn from exchanges in the last month. Specifically, Coinbase's balance declined from 400,000 to 372,000 within this one-month timeframe.
Contrary to popular belief, Thielen asserts that the surge is not solely driven by U.S. ETFs. He points out BlackRock's recent launch of a spot ETF in Brazil and the remarkable increase in daily trading volumes in Korea, reaching $8 billion for five consecutive days compared to less than $1 billion previously.
Despite a temporary spike in outflows from Grayscale’s GBTC product and a slowdown in inflows into BlackRock's IBIT last Thursday and Friday, Thielen anticipates a strong resurgence in movement towards the BlackRock product this week. He notes that investor confidence remains high, especially as Bitcoin's price continues to rise. Thielen suggests that if Grayscale’s outflows drop to less than $100 million, Bitcoin is poised for a significant upward movement.