Why Is Bitcoin Going Up Today?

The Cryptocurrency Market Explodes

In the past 24 hours, the cryptocurrency market, led by Bitcoin (BTC) and Dogecoin (DOGE), has experienced significant gains. As of Monday, November 11 (during the early Asian session), the total crypto market capitalization surged by over 4 percent, hovering around $2.9 trillion.

Bitcoin Breaks Records

Bitcoin's price climbed over 5 percent within 24 hours, reaching a new all-time high (ATH) of approximately $81,672. As the altcoin market followed Bitcoin's upward trend, crypto volatility intensified, resulting in the liquidation of over $684 million from leveraged traders.

Factors Fueling Bitcoin's Rise

The Bitcoin price and broader crypto market have been influenced by macroeconomic factors, particularly in the United States. The election of pro-crypto candidates has boosted the mainstream adoption of digital assets and web3 protocols.

Additionally, the United States anticipates acquiring 1 million Bitcoins within the next five years to mitigate its burgeoning national debt.

Rate cuts from the Federal Reserve and the Bank of England to stimulate economic growth have also contributed to the influx of whale investors migrating from the gold market to Bitcoin and altcoins in search of higher returns.

In the past five weeks, US spot Bitcoin ETFs, led by BlackRock's IBIT, have experienced net cash inflows exceeding $7.3 billion.

The Future of Bitcoin

Having recorded its highest weekly close since its inception, Bitcoin has officially entered the most captivating phase of the macro bull market, characterized by a parabolic rally.

According to renowned trader Peter Brandt, Bitcoin's price action resembles Gold's in the macro time frame. Brandt draws parallels between Bitcoin's trajectory since March 2021 and Gold's from 2010 to early 2024.

Projecting a long-term target of $260k, Brandt asserts that Bitcoin will continue to experience price discovery until the second half of 2025, before entering a significant bearish cycle in subsequent years.