Market bets on Bitcoin growth in near term, here’s why there’s a chance
There are more and more chances for Bitcoin to close the month in the green zone as October progresses. In addition to those factors that U.Today reported earlier, there are two additional indicators with a rather positive nature.
Funds flows report indicates positivity
The first positive signal can be seen in the results of the CoinShares’ digital asset funds flows report. From this weekly research, it was learned that $14.7 million were withdrawn last week from Short Bitcoin products, with a concurrent inflow of $11.7 million into products focused on growing or holding the BTC price. This type of fund flows may signal some dissipation of bearish sentiment and the presence of positivity among market participants.
Mining difficulty sets all-time high
Another factor is the increasing difficulty of BTC mining by 13.55%, setting another historically high level. At the same time, each increase in difficulty now also increases the divergence between the BTC rate and hashrate, which traditionally had a positive correlation. If history repeats itself, the hashrate recovery could once again herald a rise in the Bitcoin price.
Bitcoin (BTC) price action
Late last night, there was a break above the $19,500 level, but failing to advance further, the Bitcoin price fell below $19,300. At this point, it was just a false breakout.
At the same time, the stock market, represented by the S&P 500 Index, also began a pullback. In case of the possible continuation of growth, the target is $3,700-$3,800. If resistance is reached, Bitcoin has the chance to grow much more in its percentage ratio.