- Bitcoin hit a new all-time high of $89,863 amid rising demand and limited supply.
- The supply shock of halving after 2024 is boosting demand, with prices expected to rise even further.
Bitcoin reached a historic milestone today, reaching an all-time high of $89,863. This new peak highlights the remarkable upward momentum that Bitcoin has shown in recent days. The price rise reflects a 10.80% rise over the past 24 hours, with Bitcoin currently trading at around $89,871.28.
Trading volume also grew, amounting to $132.32 billion, an increase of 55.01%. Bitcoin’s market capitalization stands at an impressive $1.76 trillion, representing 58.90% of the cryptocurrency market, despite a slight drop of 0.05% from the previous day.
Bitcoin investor and author Jesse Myers attributes this price rise to the post-halving supply shock, which intensified after the 2024 halving event. Myers notes that Bitcoin’s unique halving cycle, which reduces new supply by 50% every four years, creates a predictable supply-demand imbalance.
If you’re wondering what’s going on with #Bitcoin…
Yes, the new Bitcoin-friendly administration has been a catalyst lately…
But that’s not the main story.
The main story here is that more than 6 months have passed since the halving.
This means that there was a supply shock… pic.twitter.com/XkwPoPxrj2
— Jesse Myers (Croesus 🔴) (@Croesus_BTC) November 11, 2024
As supply decreases, demand exceeds the available Bitcoin at current prices, causing prices to rise to restore equilibrium. Myers describes this as a recurring phenomenon, noting similar post-halving bull markets in 2012, 2016 and 2020. He believes we are in the early stages of a post-2024 bull market that will potentially lead to a new price bubble.
Bitcoin Bulls Rise Amid Record Inflows and Bullish Indicators
Bitcoin ETFs in the US received inflows of $1.094 billion, the second largest ever, highlighting strong institutional support. This inflow is an encouraging sign as it reinforces Bitcoin’s current price momentum and is consistent with the recent trend of large capital flows into digital assets.
Further whale movements indicate growing investor interest. Recent whale transfers include 3,000 BTC (valued at $253.88 million) and 2,000 BTC (valued at $169.26 million), both of which were moved between unknown wallets. Additional transfers of 2,070 BTC ($182.83 million) and 2,307 BTC ($204.94 million) were also recorded, with the latter coming from Mt.Gox to an unknown wallet.
Technical indicators support a bullish outlook. Bitcoin’s current support level is around $77,731, while resistance is close to the all-time high at $89,604. Breaking this resistance could lead to further price movement. The Relative Strength Index (RSI) is currently elevated at 84.55. With an average reading of 67.19, indicating an overbought condition, but with strong market demand. Moving averages show a positive crossover, usually signaling continued upward movement.
