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- Bitcoin was trading at over $65,000 at the time of writing.
- The last time it had a similar rally was in July, stopping around $68,000.
Bitcoin [BTC] has recently broken and maintained a price level above $65,000, which has had a significant impact on its investors.
This milestone means that more than 90% of BTC holders are now making a profit as a result of the price increase. However, this rapid increase could put pressure on prices in the short term.
More than 90% of Bitcoin holders are now profitable
According to a recent report from InHetBlokMore than 90% of Bitcoin holders would benefit from the cryptocurrency breaking the $65,000 barrier – a threshold it has now crossed.
At the time of writing, approximately 94% of holders are in the green. The last time such a high percentage of investors were profitable was in July, underscoring the importance of this achievement.
Source: IntoTheBlock
Bitcoin breaks the $65,000 barrier
An analysis from AMBCrypto highlights the upward trend in Bitcoin’s price action. BTC is currently trading at $65,400, up 0.34%, continuing its steady climb from recent lows.
During the previous trading session, the cryptocurrency rose over 3%, pushing its price to around $65,177.
Source: TradingView
Technical indicators show that the 50-day moving average (yellow) is $60,009, while the 200-day moving average (blue) is $63,021. Bitcoin trading above both averages indicates a bullish trend reversal.
The Relative Strength Index (RSI) currently stands at 65.49 and is approaching overbought territory, but still indicates strong buying momentum.
Consequences of the price increase
The move above both moving averages, coupled with a rising RSI, suggests that Bitcoin is in a healthy uptrend.
If this momentum continues, Bitcoin could test the next resistance levels between $67,000 and $70,000 – areas where previous price rejections have occurred.
However, with the RSI approaching overbought levels, a short-term pullback is possible, which would be a normal correction within an uptrend.
Despite potential dips, the overall trend remains bullish as long as Bitcoin remains above the 50 and 200 day moving averages. Such pullbacks could provide buying opportunities for investors.
Read Bitcoin’s [BTC] Price forecast 2024-25
Historical data shows that Bitcoin peaked at around $68,000 in July, during a similar positive run, but failed to retest its all-time high (ATH) as sellers regained control of the market.
This pattern suggests caution as the current rally could encounter similar resistance.