Singapore-based QCP Capital indicates that bitcoin could potentially exceed its all-time high of $73,794 this month by crossing the $74,000 threshold. The signals QCP emphasized were derived from bitcoin call options with June expiries.
Analysts Bullish on Bitcoin: QCP Capital Foresees New All-Time Highs in June
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Several Market Observers See Bullish Bitcoin Momentum Ahead
Several analysts and researchers have a positive outlook on bitcoin’s prices for June. This week, QCP Capital observed that their trading desk witnessed a “strong bullish follow-through with significant call buying for June expiries.” This trend in the options market suggests a possible move past the $74,000 level. While ethereum is “lagging,” QCP anticipates it will soon catch up and “possibly even outperform against [ bitcoin] when the [ethereum] spot [exchange-traded funds] begin trading.”
If BTC’s price can break out of that pattern, the target is $110,000, says Cory Mitchell, an analyst with Trading.biz. “After setting an all-time high at $73,794 in March, the price of bitcoin worked lower, retreating 23% into the May 1 swing low,” Mitchell explained in a note sent to Bitcoin.com News. “Since then the price has been moving up, forming a rounded bottom over the last 1.5 months. Rounded bottoms can be explosive patterns when they occur in an overall uptrend (or after a prolonged downtrend).”
The Trading.biz analyst added:
The final phase of this pattern is to push higher out of the slight pullback seen in late May. If the price can gain traction above $70,000 it will likely break out to new highs. Based on the average size of past rallies in bitcoin, following pullbacks in bull markets, that puts a target near $110,000.
Stocklytics Analyst: ‘We’re in for an Unpredictable Ride’
Neil Roarty, an analyst at investment platform Stocklytics, also discussed BTC nearing a new all-time high in a communication sent to Bitcoin.com News. “ Bitcoin is within touching distance of the highest price it has ever reached – the $73,000 it traded for back in March,” Roarty said. “So, what’s behind the bullish sentiment? The most immediate driver looks to be Bitcoin ETFs, which launched in the U.S. back in January, introducing a new wave of institutional investors to cryptocurrency. On Tuesday, these ETFs accounted for $880m in Bitcoin in-flows, suggesting demand is on the rise. It was the best day of in-flows since March.
Roarty further noted that the key question is whether these types of investors hold a positive outlook on the market. “The question now is whether these institutional investors will remain bullish,” the analyst concluded. “That will be closely linked to interest rates. If we see cuts sooner rather than later, the strong returns Bitcoin has been delivering lately could look even more appealing versus more traditional – and perhaps safer – investments. As always seems to be the case with Bitcoin, the only guarantee is that we’re in for an unpredictable ride.”
What do you think about QCP Capital’s and the analyst’s forecasts concerning bitcoin’s price? Share your thoughts and opinions about this subject in the comments section below.
