Bitcoin, the preeminent crypto asset, has shattered expectations by breaking the $90,000 barrier, achieving a historic new high. This monumental rise occurred in the wake of the U.S. presidential election, following President Donald Trump’s victory, which fueled an aggressive bullish trend that propelled BTC from $75,000 to beyond $90,000.
On Tuesday Nov. 12, BTC soared past $90,000.
Market experts link this significant price movement to heightened institutional interest, particularly following the U.S. Securities and Exchange Commission’s approval of several spot bitcoin exchange-traded funds (ETFs) at the start of this year. The increased investment from these institutions during the first three quarters of 2024 significantly bolsters confidence in bitcoin’s viability as a major asset class.
Just before 4 p.m. Eastern Time on Tuesday, BTC jumped past $90K to $90,243 per coin.
Despite the optimism, the daily chart’s oscillators suggest caution. The relative strength index (RSI) is nearing overbought territory at 84, hinting at a possible pullback, while the commodity channel index (CCI) also indicates a bearish signal at 220. Conversely, the moving average convergence divergence (MACD) and momentum indicators show strong buying signals, suggesting the potential for further upside toward the six-digit range.
This current rally highlights the growing institutional acknowledgment of bitcoin as a cornerstone of modern investment portfolios. Retail investors seem to be heading toward the market as well. However, as with all market ascents, the potential for volatility and a healthy correction looms, requiring investors to stay informed and agile. Despite a probable drawdown, bitcoin hitting $90K in 2024 is quite the achievement.
