Bitcoin rally above $67.5K could spark new record highs, says 10x Research
Bitcoin’s price could start rallying to new all-time highs if it manages to decisively rise above the crucial $67,500 mark.
The $67,500 level is acting as a significant resistance line for Bitcoin (BTC), which could determine its price action in the coming weeks, according to a May 20 report by Markus Thielen, the head of research at 10x Research.
Thielen wrote:
“A breakthrough above $67,500 could potentially lead to new all-time highs, a scenario that our Bitcoin ETF model predicts.”
The predictions come after Bitcoin staged a significant recovery above the $66,000 psychological mark. The world’s first cryptocurrency is up over 7.3% during the past week, according to TradingView.
Last week’s price recovery is a promising sign for Bitcoin’s price action, added Thielen:
“A breakthrough above $67,500 could potentially lead to new all-time highs, a scenario that our Bitcoin ETF model predicts.”
Inflows from the United States spot Bitcoin exchange-traded funds (ETFs) remained positive for the second consecutive week, as the ETFs amassed over $200 million worth of cumulative net inflows, which is just half compared to the previous week’s $413 million, according to Dune.
Before the week beginning May 6, Bitcoin ETF net flows had been negative for three consecutive weeks.
Institutional inflows from ETFs were a significant part of the current Bitcoin rally to new all-time highs. By Feb. 15, Bitcoin ETFs accounted for about 75% of new investment in the world’s largest cryptocurrency as it surpassed the $50,000 mark.
However, Bitcoin faces significant resistance at the $67,500 mark. A potential move above would liquidate nearly $300 million worth of leveraged short positions across all crypto exchanges, according to CoinGlass.
Related: Over 80% of recent Binance token listings are bleeding red
Tether’s newly-minted USDT could boost Bitcoin price
On the monthly chart, Bitcoin has flipped an important resistance into support, which could signal more bullish momentum, according to a May 16 X post by popular crypto analyst Rekt Capital.
The move happened as Tether minted $1 billion worth of its Tether (USDT) stablecoin on May 17, bringing its yearly total to $31 billion of newly issued USDT.
The newly minted USDT was a big reason why Bitcoin price climbed from $27,000 to $73,000, according to a May 17 post from Lookonchain:
Tether could also directly contribute to Bitcoin’s rally. The company said it would invest 15% of its net profit in Bitcoin to diversify the stablecoin’s backing assets.
Tether acquired 8,888 BTC on March 31, worth $618 million, making the stablecoin issuer the seventh-largest Bitcoin holder in the world, according to BitInfoCharts.
