Bitcoin reached an all-time high this morning of $73,000, as the institutional market and technical positioning underpinned it amid ongoing geopolitical conflict in the Middle East.
Bitcoin’s price is now recovering from its recent lows after six consecutive weeks of losses, and five months in a row.
Bitcoin prices yesterday approached The threshold was $70,000, but it wasn’t exceeded. It broke that barrier during Asian trading hours, on the 4th of March.
The rebound was attributed by market participants to traders covering bets on bears, adjusting their positions instead of a fresh demand for bulls. Many traders had taken heavy positions in shorts on the fear that the Iran conflict will escalate.
When it did not escalate into a larger regional conflict, these shorts were justified were forced to unwind, helping push bitcoin higher.
The Bitcoin price is gaining momentum
“If BTC holds above 71k through Friday’s NFP print and builds continuation, the range structure shifts materially,” Nicolai Søndergaard, Research Analyst at Nansen, wrote to Bitcoin Magazine.
“A soft payrolls number would likely reinforce rate cut expectations ahead of the March 18 FOMC decision, providing a macro tailwind at the margin. However, if this level fails to hold as it has before, the 60k to 71k range remains intact, and fading the edges is the more defensible positioning until a clear direction is confirmed.”
Additional support has come from institutional flows. U.S. spot bitcoin ETFs registered roughly Net inflows of $1.45 billion over the last five trading days.
The daily ETF inflows continued to be high, as $225 millions was recorded on 3 March after $458 million the previous day.
The data from on-chain transactions and derivatives shows stabilization. Traders remain cautious. Glassnode has reported that momentum indicators have moderately rebounded, with bitcoin’s relative index increasing to 41 in the last week from 36.
The spot trading volume has increased from $6.6 to $9.6 Billion, and derivatives markets are still displaying defensive positions.
Open interest has increased in the major contracts as traders have adjusted their positions and are not chasing fresh gains.
President Trump: Genius Act ‘under threat’
Yesterday, Donald Trump criticized banks, stating that the GENIUS Act he passed last year, which regulated stablecoins, was not working. “being threatened and undermined by the banks.”
This dispute is a serious matter. centers On a provision that bars stablecoin issues from paying holders interest, banks claim this creates a hole for reward programs run by third parties.
Banks are demanding that the Clarity Act, which is a new legislation on market structure, be amended to include such rules. Crypto enthusiasts, however, insist these rewards are necessary for stablecoins in order to compete with payments.
Although the White House has organized meetings with representatives from banking and crypto, progress is still being held in the Senate.
Even so, bitcoin’s price seems to be stabilizing after months under selling pressure. ETFs are boosting the market, as well as defensive derivatives and long-term investors.
The bitcoin price at the moment of this writing is around $73,050.
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Source: bitcoinmagazine.com
