Amidst predictions of a $40,000 Bitcoin surge, analysis suggests that Bitcoin has substantial momentum, surpassing the S&P 500 in October.
On October 27, Bitcoin confidently reached $34,000 at the Wall Street open, drawing attention to its performance against macro assets.
According to TradingView data, BTC/USD remained stable, preserving gains from early in the week.
As the pivotal weekly and monthly closes approached, the largest cryptocurrency exhibited minimal volatility.
Popular trader Daan Crypto Trades shared insights, anticipating Bitcoin to linger in the $33,000-$35,000 range, keeping an eye on potential market movements within this bracket.
Daan observed a recovery in open interest (OI) to pre-surge levels, a feature seen in prior BTC price squeezes.
Material Indicators pointed out that only a move to $34,850 would negate the bearish signal, suggesting a possible move before the monthly candle close.
Kaleo, a social media trader, highlighted Bitcoin’s significant outperformance against the S&P 500 since September, predicting continued upside.
In the past month, Bitcoin showcased a “bullish decoupling” from equities, rising 48% against the SPX while being up 36% versus USD from September lows.
Kaleo’s chart comparing BTC/USD with the S&P 500 marked key events in Bitcoin’s history, supporting the claim that there’s substantial momentum for a move to $40,000.
Analysts also emphasized the imminent transformation of recent resistance levels into weekly and monthly support, challenging the perception that surpassing $32,000 is inconsequential. Matthew Hyland, a crypto and macro analyst, argued that bears have limited options, with their last hope resting on the weekly and monthly closes.