Bitcoin (BTC) has maintained an upward trend since the US Federal Reserve cut its rate last Wednesday. Currently trading at $63,509, the leading cryptocurrency has gained around 10% in the past seven days.

With increasing demand and improving market sentiment, the royal coin could reach a two-month high of $69,000. This analysis delves into the key factor driving this potential rally.

Bitcoin Miners May Be The Key

An assessment of Bitcoin’s Puell multiplier suggests the leading cryptocurrency could be set for an extended rally. For the first time since the end of the 2022 bear market, the value of this metric, which measures the profitability of Bitcoin miners, has reached the green zone of 0.5.

When BTC’s Puell multiplier is above 4, the market is said to be in the “red zone” where miners are making significant profits. This often indicates a market top and is characterized by increased selling pressure, causing prices to fall.

  1. Conversely, when the coin’s Puell multiplier enters the “green zone,” mining profitability is much lower than usual. This situation often leads to upward price movement because these unprofitable conditions force miners to scale back or close their operations. The resulting shortage in BTC supply drives its value higher.

    In a recent blog post, CryptoQuant contributor Darkfost confirmed this.

    “Historically, when the green zone is reached, it is followed by an upward price movement. Conversely, reaching the red zone is usually preceded by a downward market movement,” the analyst noted.

    Bitcoin’s positive funding rate since September 15 is another bullish indicator that suggests its price could continue to rise. At press time, the coin’s funding rate, which is a periodic fee paid to ensure its contract price remains close to its spot price, is 0.005%.

  2. A positive funding rate indicates that most traders expect the price to rise, resulting in greater demand for long positions than for short positions.

    Bitcoin Price Prediction: $69,000 Imminent If History Repeats

    If history repeats itself and the Bitcoin Powell multiplier readings are correct, the leading cryptocurrency is likely to see an uptrend, with a potential rally towards resistance at $67,078. Successfully clearing this level could pave the way for Bitcoin to reach $69,000, a price it last reached in July.


    However, if the expected accumulation wave fails to materialize and selling pressure increases instead, Bitcoin price could drop towards $54,672.

  3. $XRP

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