Bitcoin Gains 14% in October but Faces November Correction

Bitcoin’s price rose by approximately 14% in October. As November began, the cryptocurrency experienced a correction, yet traders remain optimistic about a continued upward trend.

On October 29, Bitcoin’s price reached $73,620 (on Binance), nearing its historical peak from March.

As the third month of autumn began, the price moved downward towards a potential breach of the $69,000 level.

However, experts noted an unusual demand for the asset from over-the-counter market clients.

Absolutely absurd amounts of Bitcoin is being bought OTC by institutions.

When they have enough, they will have the media blast news about a new Bitcoin all time high.

Retail will then flock to Coinbase where there will be no supply left. Price will go nuclear. It’s planned.

— Alex Becker ??? (@ZssBecker) October 31, 2024

“Absolutely absurd amounts of Bitcoin are being bought by institutions through OTC,” wrote crypto trader Alex Becker.

A similar view was expressed by a user known as The Bitcoin Therapist. According to him, “rumors are circulating that OTC platforms are running out of stock, and a squeeze is imminent.”

The information was confirmed by Bitcoin trader Magoo PhD. According to his data, OTC services are already purchasing Bitcoin at a premium for lots of 100 BTC or more.

I just got off the phone with the same OTC desk I was in communication with yesterday. They are still looking for #Bitcoin inventory but the kicker now is they are now willing to pay 250 basis points above market for any lots larger than 100 #Bitcoin.

Supply is getting tight.

— Magoo PhD (@HodlMagoo) October 30, 2024

“Supply is getting tight,” he noted.

Crypto investor Mike Alfred was skeptical of such claims. He was supported by several commentators with ironic remarks such as, “I heard there are only 40 BTC left on the market.”

I was skeptical about the reports of OTC desks running short of Bitcoin but today I got 3 separate calls and I can confirm it’s real. Everyone is having trouble sourcing BTC. I declined to make my treasury available even after being offered free Super Bowl box seats. Desperation.

— Mike Alfred (@mikealfred) November 1, 2024

Nonetheless, Becker expressed absolute confidence regarding the demand from the OTC market:

“When they have enough money, they will make the media explode with news of a new Bitcoin all-time high. Retail will flock to Coinbase, where there will be no stock left. The price will become nuclear. It’s planned.”

Overall, October lived up to its community nickname Uptober—historically, this month has seen Bitcoin rise following a traditionally poor September for the cryptocurrency.

“Uptober” Performed Well. pic.twitter.com/5VTcAWtNxO

— BitMemes Daily (@daily_bitmeme) November 1, 2024

However, it fell short of the 23.6% and 27.5% gains seen in 2023 and 2021, respectively.

It did surpass 2022, which was marked by the May collapse of Terra, a series of bankruptcies among major industry players, and the FTX collapse in November.

Market participants in Bitcoin options had prepared for a “bullish” scenario following the U.S. presidential election and the Fed meeting, increasing OI on November calls with strike prices above $80,000.

A potential victory for Donald Trump could strengthen the upward momentum of the first cryptocurrency’s price, analysts at JPMorgan noted.