Bitcoin’s price surpassed $72,000 this morning, marking the highest level in the past month. This rise is attributed to strong institutional demand and technical strategies, despite ongoing geopolitical tensions in the Middle East, which have not destabilized the market. After weeks of continuous decline, this marks a notable recovery. Yesterday, Bitcoin approached $70,000 but failed to break that threshold; however, during Asian trading hours, it crossed that level, signaling a positive market trend. Analysts suggest this increase largely resulted from investors closing bearish positions taken amid fears of escalating conflict in Iran. As tensions did not escalate into widespread conflict, short positions were unwound, driving prices higher.
Additionally, the Bitcoin spot ETF listed on the US stock market recorded net inflows of approximately $1.45 billion over the past five days, indicating market strength. On-chain and derivatives data also point to stability, although investors remain cautious. According to a Glassnode report, Bitcoin’s relative strength index improved compared to the previous week. Meanwhile, former US President Donald Trump criticized the banking sector, claiming that the “GENIUS Act” he signed last year, designed to ensure stability by preventing banks from paying interest to stablecoin issuers, is under threat. Banks are reportedly attempting to exploit legal loopholes to restrict third-party reward programs.
Overall, Bitcoin has demonstrated short-term strength following recent months of decline, supported by ETF investments, cautious derivatives positioning, and reduced selling by long-term holders. Currently, Bitcoin is trading near $71,700, with market experts closely monitoring its trend in the coming days.
Source: bitcoinmagazine
