Bitcoin Price Forecast: Rally Through Resistance Puts Bitcoin On Course to $75K

Highlights:

• Bitcoin price is gaining upside momentum after rallying through $71,353 resistance
• Rally through resistance puts a $75k short-term target within reach
• Price action alignment with past cycles makes the case for a rally to $75k

Bitcoin continues to make headlines today for its impressive price action this week. In the last 24 hours, Bitcoin has gained by 1.75% to trade at $72,469.61. However, it is not the price that is going up, trading volumes have also experienced a significant surge in the last 24 hours. 

In this period, Bitcoin trading volumes have shot up by 10% to hit a high of $52.54 billion. This is an indicator of the first growing investor interest in Bitcoin at the moment. It is also an indicator that FOMO is building up and that Bitcoin could be up for a parabolic price run from this point. This is something that Bitcoin’s price action has confirmed on the charts.

Technical Analysis – Bitcoin Price Rallies Through Resistance

From the charts, Bitcoin is gaining upside momentum after rallying through the multi-month resistance of $71,353 on October 29 and closing above it. This is an indicator that bulls are firmly in control. It also opens the way for a rally to new highs, prices that Bitcoin has never tested before. If the current momentum is sustained, the first target for Bitcoin price could be $75k. A push through this level could see Bitcoin rally to $100k or higher in the short term.

However, if Bitcoin slows down after the last 3-days of price gains, two scenarios could play out. The first is a possible consolidation between the $73k resistance and $71,353, now support. The second scenario is where there is a minor correction in the price of Bitcoin. In such a case, Bitcoin could see a correction to around $68,267, now a major resistance level in the week. 

Of these scenarios, there is a higher chance that Bitcoin price could be headed higher, and that $75k could be within reach in the short term. Several market factors point to such a price action for Bitcoin.

October Signals Potential for Parabolic Rally

One of them is the fact that Bitcoin is trading in line with the price action of past bull cycles. Every 4-years, Bitcoin experiences a parabolic price run that sees it make new highs. This rally usually started in October, after months of consolidation.

This cycle has not been any different. After consolidating since May, Bitcoin started sending bullish signals in September, which turned into a full-blown bull market in October. This is perfectly in line with what has come to be known as #Uptober in other cycles as well. With the cycles aligning, there is a good chance that Bitcoin could soon be headed to higher prices, potentially culminating in a blowout rally by Mid-2025.

#Uptober it was.#Moonvember it will be. pic.twitter.com/sGynzvY1JD

— Adolf Rizzler (@0xRizzler) October 28, 2024

Institutional Inflows Getting Stronger

Besides a cycle alignment, Bitcoin is increasingly drawing a lot of institutional interest. This makes the case even stronger for a parabolic price run from this point onwards. Since October 28, inflows into Bitcoin ETFs have been on a strong rally. On October 28 alone, ETF inflows stood at $479 million. Even more bullish is the fact that there has only been a single day of outflows since October 11. 

This is an indicator that institutional money is not only flowing into Bitcoin, but that institutions are not selling. Such inflows combined with companies like MetaPlanet and MicroStrategy leading the way. This week, MetaPlanet has made headlines after buying $10 million worth of Bitcoin. It all points to the growing demand for Bitcoin.

A Recap on Bitcoin Price

All this demand is coming at a time when the Bitcoin supply continues to shrink. Not only did the halving cut the amount of new Bitcoin entering the market, but also the amount of Bitcoin in exchanges has shrunk significantly. All this means demand is increasingly chasing a constrained supply, which is a perfect mix for a parabolic price run.