- Bitcoin rose to $28,150, the highest level in three weeks.
- The upside comes as sentiment turned positive on ETF news amid further election accumulation.
- Analysts say BTC could test new year highs but bulls need key support area.
The price of Bitcoin (BTC) broke above the $28k level for the first time in three weeks, with BTC trading to highs of $28,150 on Tuesday afternoon. Gains continued to resume in the cryptocurrency after it recently fell below $25k.
Today’s upside saw BTC/USD jump more than 5% in 24 hours, resulting in the market’s biggest short squeeze so far in June. Bitcoin’s Dominance Index also rose to over 50%, the first time it reached that level in over two years.
Bitcoin gains as sentiment reverses amid whale accumulation
As the price moved to the key resistance level, crypto analysis platform Santiment pointed to the increasing trading volume and token circulation.
“Bitcoin has made a huge run in the last 4 hours, rising from $26.7k to $28.0k (+4.9%) in this short time. The 3-week high price of $BTC is driven by rising trading volume and token circulation, both factors that often imply continued growth“, the market intelligence platform tweeted.
Previously, the company had shared data showing that whales have taken advantage of the recent downside to increase their holdings. While the shrimp to fish cohorts have been busy adding to their total holdings over the past month, whales with 1,000 to 10,000 BTC have added 131,600 BTC worth over $3.5 billion since the start of April.
Bitcoin Price Outlook – Analyst Stock Forecasts
Bitcoin’s recent gains also come after headline news surrounding the filing of a spot Bitcoin ETF by BlackRock and reports of a similar move by Fidelity Investments. It appears that bulls may now target the $30,000 level, although the intraday highs zone may prove to be a significant obstacle.
While Bitcoin was trading around $27,950 at 4:00 PM ET on Tuesday, the bulls previously noted the world’s largest coin by market capitalization at levels that experts have said must break for further upward momentum.
“The burden of proof increases on the bears in Bitcoin $BTC”, veteran trader Peter Brandt noted on Twitter. “The retest of the underlying H&S has received good support and a possible falling wedge is being completed on the daily line chart.”
Here is the chart that the veteran trader shared.
Meanwhile, crypto analyst Ali has highlighted that Bitcoin’s rise has bulls with “stable support”.
“As long as #BTC holds above $26,160 – $26,970, it has a good chance to make new annual highs,” he predicted. The analyst notes that approximately 2.26 million addresses bought more than 1.14 million BTC in the above interval.