Bitcoin Continues to Grow, but Warning Signs

- Bitcoin (BTC) surpassed its August 25 local high of $65,200 last week after multiple rejections. BTC is currently trading below $65,000 and could continue to rise, but analysts warn there are signs to watch out for.

- Bitfinex reports a lack of positivity in the spot market, suggesting that interest has waned and BTC may be approaching equilibrium. BTC needs a trigger to restart its bullish momentum.

- September was its most positive month ever with a gain of over 7%. BTC has recovered from its September 6 low of $52,756 to above $66,500, marking its first significant increase since early August 2024.

- BTC is currently above key levels such as the short-term holder strike price (STHRP) of $62,750. Bitfinex said that staying above this level is a key indicator of a bullish market trend.

- Historical models suggest that BTC could reach a new all-time high (ATH) in late Q4 2024 or early Q1 2025, but this depends on market dynamics and investor sentiment.

- However, other on-chain data suggests that BTC may not gain the strong bullish momentum needed to reach a new ATH in the short term. The decline in spot market activity and the increase in futures and perpetual markets are signs to be cautious.