Monthly Crypto Market Review: October 2024
London: 4 November 2024 (TraderMade): October marked a pivotal month for Bitcoin as it broke past the $70,000 threshold, reflecting an 11% surge despite a recent 3% dip. This rally has largely been driven by substantial institutional investments through US-based spot ETFs, indicating traditional finance’s growing confidence in Bitcoin.
As the US presidential election looms, Donald Trump’s pro-Bitcoin stance has further fueled this momentum, with market speculation that favorable regulatory shifts could boost adoption if elected.
Key Takeaways
- Bitcoin surged past $70K in October, fueled by record-breaking ETF inflows and pre-election optimism.
- Institutional investments solidify crypto as a long-term asset, with increased interest in regulated ETF structures.
Bitcoin’s recent rise suggests a shift in perception; market participants increasingly view it as a long-term asset with promising potential. This sentiment and significant inflows from institutional players have helped solidify Bitcoin’s position in bullish territory.
Record-Breaking Bitcoin ETF Inflows
US Bitcoin ETFs saw unprecedented inflows in October, with $870 million entering ETFs daily—one of the largest daily inflows. BlackRock’s IBIT led these inflows, contributing $629 million, which brought October’s ETF totals to nearly $4 billion.
This surge highlights institutional interest from traditional finance, with ETFs providing a structured and regulated way to gain Bitcoin exposure. With only one day of outflows throughout the month, market participants appear committed despite market volatility. These steady inflows position Bitcoin ETFs as a key factor in driving Bitcoin’s price and may pave the way for increased institutional adoption.
Satoshi Nakamoto Identity Reveal Stirs Curiosity
On October 31, the 16th anniversary of Bitcoin’s whitepaper, a press release hinted at a live demonstration revealing the true identity of Bitcoin’s elusive creator, Satoshi Nakamoto. While the announcement has generated significant buzz, skepticism prevails in the crypto community.
Past attempts to reveal Nakamoto’s identity have often proven false, leading many to question the validity of this latest claim. Whether or not the reveal is credible, the speculation around Nakamoto’s identity intrigues and adds mystique to Bitcoin’s history.
Bitcoin Technical Analysis
Bitcoin’s recent uptrend is marked by a steady climb tempered by crucial support and resistance levels. Now trading at $70,769, Bitcoin faces resistance at $73,355, with a potential target of $74,857. Immediate support levels are at $71,852 and $70,350, with the 50-day EMA near $69,110 offering additional support.
Technical indicators show mixed signals, balancing short-term caution with long-term optimism. The RSI has dipped into oversold territory, hinting that a consolidation period may precede further gains.
If Bitcoin maintains its resilience above $70,000, it indicates that the bullish trends are continuing, with fundamentals favoring further upward movement.
Ethereum Price Analysis
Ethereum has held its ground amid volatility, testing critical support at $2,500. A dip below this level could push ETH to further declines, with the next target around $2,350.
However, a recent bounce from the midline of a descending channel has brought Ethereum close to its 100-day moving average, signaling the potential for a fresh bullish trend toward $2,900 if it breaks through.
The futures market for ETH shows positive funding rates, suggesting cautious optimism among market participants. Should these rates increase, they would signal intensified buying interest, reinforcing a sustainable rally and giving Ethereum a chance to reclaim higher levels.
Final Thoughts
October has been a defining month in crypto, with Bitcoin and Ethereum showing resilience and strength. As institutional interest grows and the election heightens speculation, the market sets the stage for continued momentum into year’s end.
