Bitcoin Rises Above $70K as Crypto Rally Resumes; Analyst Targets $83K

Bitcoin broke $70,000 following a 10-day cooldown. No huge short liquidations followed the surge, showing few market participants were betting on dropping prices with leverage. 10x Research predicted $83,000 for Bitcoin after breaching its consolidation trend. The cryptocurrency market rebounded this week, with bitcoin {{BTC}} trading over its 2021 peak after recent declines.

On Monday, Bitcoin {{BTC}} reached $70,000 for the first time in 10 days, increasing nearly 7% in the preceding 24 hours. While Ethereum's ether {{ETH}} rose 6%, prominent layer-1 blockchains Solana {{SOL}} and Avalanche {{AVAX}} saw tokens rise over 10%.

The rally extended to most digital assets, with all CD20 components in the green and the gauge up 6.1% for the day.

CoinGlass data shows that the unexpected rebound liquidated $195 million of leveraged derivatives bets across all crypto assets, $129 million of which were short positions seeking lower prices. Bitcoin short liquidations were $53 million, below the recent daily average.

The recent correction in crypto markets, which saw BTC drop below $61,000 last week from record prices above $73,000, slowed inflows to new U.S.-listed spot bitcoin ETFs, and increased selling of Grayscale's GBTC fund, may be ending with a surge to $83,000 and higher.

Bitcoin may reach new highs after breaking out of its consolidation pattern, 10x Research stated Monday. A symmetrical triangle formation, a technical analysis chart pattern, might predict a $15,000 to $20,000 price increase for bitcoin from $63,000, the research stated. That might push BTC to $83,000.

BTC cleared the 2021 peak at $68,000 today, an important level because "retested and broken once more, BTC has tended to put in significant rallies," noted 10x creator Markus Thielen. The paper noted that dovish central banks are supporting bitcoin's surge.

The Fed signaled that they are willing to accept higher inflation for longer and are eager to slow down quantitative tightening," he said. "The Bank of Japan and the Swiss National Bank also surprised on the dovish side." The analysis noted that bitcoin generally rises 100%-200% during U.S. election years like 2024, supporting greater prices later this year.

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