Trading volume of the leading cryptocurrency in early November reached a 2020 high, according to Arcane Research.
📈Highest #bitcoin volume in 2020📈
We have seen a massive increase in the bitcoin volume over the past month, surpassing the highs from March and May.
Read more in our weekly market report: https://t.co/piGbUmtUZn pic.twitter.com/B0yTmNgASP
— Arcane Research (@ArcaneResearch) November 10, 2020
On November 5, as Bitcoin rose more than 10%, the metric surpassed levels seen on March 12-13, when the price of the cryptocurrency fell below $4,000.
Source: Arcane Research.
Open interest in Bitcoin futures on the Chicago Mercantile Exchange (CME) rose to around $900 million, close to the August 17 record of $948 million.
Source: Arcane Research.
Analysts noted growing institutional interest in the leading cryptocurrency. As an example they cited a change in Bitcoin’s attitude by billionaire Stanley Druckenmiller, the former George Soros Quantum Fund partner.
Source: Arcane Research.
According to analysts, the cryptocurrency Fear & Greed Index approached an all-time high of 95 points since calculations began in 2018. Previously, this had signalled profit-taking on long positions.
Source: Arcane Research.
Analysts noted the persistence of the trend of coins being withdrawn from centralized exchanges by holders of the leading cryptocurrency. The ratio of Bitcoins on exchange balances to the number of coins in circulation reached its lowest since February 2018.
Source: Arcane Research.
From a technical perspective, analysts flagged the prerequisites for a move toward the all-time high near $20,000.
Source: Arcane Research.
The optimistic scenario would be supported if the price closes above $16,000 for the week. Otherwise, there is a risk of a pullback toward the $14,000 area. A return to $12,000, in the view of analysts, would mean no new highs this year.
In Kraken’s latest report, analysts found opportunities for continuing Bitcoin’s rally toward an all-time high, driven by FOMO and the actions of so-called “whales”.
Earlier, analyst PlanB confirmed that he remains true to his forecast for Bitcoin to rise to $100,000-$288,000 by December 2021.
The Winklevoss brothers, founders of the Gemini cryptocurrency exchange, are upping their bets: based on their own analysis they expect Bitcoin to reach $500,000.
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