Bitcoin price has extended its upward momentum, hitting 14-week highs of $104,332 early on Friday. In addition, the crypto market bellwether is on course to register its fifth successive weekly gain. That strong bullish momentum got tailwinds this week after two US states, New Hampshire and Arizona passed laws to establish publicly-funded cryptocurrency reserves.
Institutional adoption is central to the Bitcoin price upside momentum, and the establishment of state crypto reserves has pushed it a notch higher. Approximately $73 billion worth of Bitcoin was traded in the last 24 hours, with the volume up by 34% in that time frame. That momentum signals rising appetite from buyers and that will likely push BTC price higher in the near-term.
Beyond the state BTC reserve news, a trade deal between the US and the UK has drained risk aversion in financial markets, encouraging more affinity towards highly volatile assets like cryptocurrencies. With more trade deals in the pipeline, the momentum on Bitcoin price will likely stay on the upward trajectory in the near and medium-term.
Meanwhile, Bitcoin spot ETFs have been on the upside in recent weeks, adding support to BTC price. Thursday’s session saw $117.4 million worth of net positive inflows, headlined by BlackRock’s IBIT, Fidelity’s FBTC and ARK 21Shares’ ARKB. In addition, Bitcoin’s exchange net flows have declined from $218 million to -$65.25 million in the last two days, pointing to a steep decline in selling pressure. A continuation of that momentum will add propulsion to Bitcoin price.
Bitcoin Price Prediction
Bitcoin price momentum favours it to continue its upside above the pivot mark at $101,370. With the buyers in control, the coin will likely go higher and encounter the first resistance at $104,540. A stronger momentum will break above that level and could push the action higher to test $106,470.
Conversely, going below $101,370 will usher in the sellers to take control. That momentum is likely to go lower and find the first support at $99,480. Breaking below that level will invalidate the upside narrative. Also, such momentum could extend the downside and test $97,120.
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