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Bitcoin Sets New All-Time High Above $69,000 As Institutionals Show FOMO

Bitcoin has set a new all-time high (ATH) above the $69,000 level as institutional investors have aggressively bought on Coinbase.

Bitcoin Has Set A New ATH Above $69,000

The moment that every Bitcoin investor had been looking forward to has finally arrived today. The cryptocurrency just smashed past the record set in November 2021 to create a brand new ATH beyond the $69,000 level.

Bitcoin All-Time High

This historical moment has come for the asset as institutional investors have been showing some strong buying pressure recently.

Bitcoin Coinbase Premium Index Spikes To Highest Levels For 2024

As an analyst in a CryptoQuant Quicktake post explained, US institutional investors appear to be scrambling to buy Bitcoin as they are starting to feel FOMO with the sharp bullish momentum the cryptocurrency has enjoyed.

The metric of interest here is the “Coinbase Premium Index,” which keeps track of the percentage difference between the Bitcoin prices listed on cryptocurrency exchanges Coinbase (USD pair) and Binance (USDT pair).

The former exchange is the preferred platform for institutional traders based in the US, while the latter serves more global traffic. As such, the Coinbase Premium Index can provide hints about the differences in the buying and selling behaviors of the two groups.

When the indicator has a positive value, the price listed on Coinbase is higher than on Binance. Such a trend implies that the buying pressure is higher (or selling pressure is lower) from the US-based investors compared to Binance users.

On the other hand, the negative metric suggests that American institutional traders may be applying relatively high selling pressure on the market.

Now, here is a chart that shows the trend in the Bitcoin Coinbase Premium Index over the past few months:

Bitcoin Coinbase Premium Index

As displayed in the graph, the Bitcoin Coinbase Premium Index has registered a large positive spike recently, implying the difference between the prices on Coinbase and Binance has widened.

The indicator had been floating inside the green territory for a while before this spike, and in this period of high buying pressure on Coinbase, the coin observed a sharp rally.

This recent buying pressure would probably include sources like the spot exchange-traded funds (ETFs) approved this year. From the chart, it’s visible that the buying pressure has been even higher in the last couple of weeks, culminating in the latest spike.

Interest around the asset among these institutional entities had only been growing recently, but the latest spike suggests FOMO has gone up a level for these investors.

Given that institutional buying has been one of the main forces behind the latest rally in the cryptocurrency, it’s no wonder that its price has hit a fresh high off the back of the latest spike.

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Crypto Seeks to Make Mark on U.S. Elections During ‘Super Tuesday’

The long list of primary elections Tuesday across 15 U.S. states will steer the fates of many seats in Congress and further solidifies the presidential showdown later this year, but Coinbase CEO Brian Armstrong said it’s also a “chance to send a message” to federal politicians who’ve declined to come up with crypto policies.

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Analyst: OP Is Undervalued But Will Skyrocket Because Of Coinbase And Base

Adam Cochran, a partner and professor, is bullish about OP, the native token of Optimism, the layer-2 scaling solution for Ethereum. 

Taking to X, Cochran is convinced OP is undervalued, pointing to the significance of Coinbase and the brand it has created over the years as a crypto exchange and investor in multiple products. In 2023, Coinbase backed the development of Base, a layer-2 scaling solution for Ethereum that uses Optimism infrastructure for its optimistic roll-up. 

OP Will Rocket Because Of CoinBase And Base

In coming up with this assessment, the investor highlights Coinbase’s vast user base and ability to drive retail adoption towards Base potentially. And, as aforementioned, since Base uses Optimism, the expected adoption spike will significantly boost OP from current spot levels. 

Cochran argues that the “power of discoverability” associated with Coinbase, a brand that facilitates billions of dollars in daily trading, will be crucial to Optimism’s success. This is particularly relevant when looking at OP prices when writing.

OP price trending upward on the daily chart | Source: OPUSDT on Binance, TradingView

When writing, OP is stable but up 220% from October lows. The token has been trending higher, benefiting from the broader crypto rally. Even so, though in an uptrend, OP has not reclaimed 2023 highs of around $4.2.

To drive the point home, Cochran compares how the BNB Chain blew up in the number of active users. In the last bull run, the chain had an active decentralized finance (DeFi) and non-fungible token (NFT) ecosystem. The BNB Chain’s popularity and soft landing is because the smart contracts platform is associated with Binance, the world’s largest cryptocurrency exchange. 

Further to the point, the success of Solana, the partner argues, lends its success to the now-defunct FTX. At its peak, FTX injected billions to fund the development of Solana. It was also actively involved in financing some of Solana’s active protocols. 

The Great Convergence Of Supportive Events

Presently, Coinbase is streamlining its operations, recently stopping support for Bitcoin, Litecoin, and other UTXO tokens via Coinbase Commerce. Their focus is on Ethereum-compatible tokens, which could provide hints that Coinbase Commerce might soon be integrated into Base.

From the protocol level, Ethereum plans to implement upgrades to make transacting on layer-2 platforms even cheaper. The Dencun Upgrade is scheduled for March and will see Ethereum enhance as part of its long-term scaling roadmap.

Optimism TVL | Source: L2Beat

L2Beat data on March 1 shows that Optimism has a total value locked (TVL) of $7.8 billion, roughly half that of Arbitrum. Meanwhile, Base has been rising up the rankings, commanding a TVL of approximately $1 billion.

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Bitcoin Ascent To $64,000 Causes Coinbase To Crash – Here’s What Happened

Not long after the value of Bitcoin surpassed $62,000, its highest level since 2021, Coinbase had severe disruptions and issues on Wednesday afternoon, preventing some customers from signing in at all and causing some user accounts to reflect a $0 balance.

Crypto aficionados were furious on social media because they are unable to access their money on the biggest cryptocurrency exchange in the United States. Furthermore frustrating, some customers have reported errors when buying and selling.

The continuous demand for Bitcoin is seen as main the reason behind the sudden crash of the Coinbase app. The leading cryptocurrency had a 40% price increase this month as a result of US bitcoin spot ETFs. This was the biggest monthly gain the digital asset had seen since December 2020, according to reports.

Bitcoin Price Action Today

With a ferocious start to March, Bitcoin’s unprecedented activity has positioned it for its biggest monthly gain in over three years on Thursday. Bitcoin is currently very close to reaching a new high due to the money flooding into listed bitcoin funds, which is driving a significant increase.

The world’s leading cryptocurrency briefly touched $64,000 (the first rise above $60,000 since November 2021), before partially reversing the gains. According to Coingecko data, BTC was trading at $62,765. It was up 10% and 22% on a daily and weekly basis, respectively.

After plunging 64% in 2022, the value of bitcoin has more than tripled since the start of the year. That represents a remarkable comeback from a slew of scandals and bankruptcies that had raised concerns about the long-term viability of cryptocurrencies.

Are Coinbase Funds Safe?

Meanwhile, customers can now log back into the exchange, according to a statement from Coinbase, although users are still reporting issues with “certain payment methods” and issues with sending and receiving money.

While acknowledging that “some users may see a zero balance” on all of their Coinbase accounts and may run into problems while purchasing or selling, Coinbase reassured customers that their money was secure. Additionally, the exchange made it clear that there have been significant delays in money transfers via the Ethereum ERC-20 network.

There are rumors of similar crashes on other significant exchanges, such as KuCoin and Binance. But there is still no proof to support these allegations.

The situation comes at a difficult moment for Coinbase, as more inexperienced investors are returning to the market for cryptocurrency trading and discovering they appear to have no assets.

The disruption at Coinbase is not unprecedented; in every bull market, there are technical problems that arise when the platforms cannot handle the volume of buying and selling. As a result, the lack of technological safeguards on sites like Coinbase to handle such problems infuriates members of the cryptocurrency community.

Featured image from Pixabay, chart from TradingView

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Coinbase Made an Arbitration Case to the U.S. Supreme Court – Again

Crypto exchange Coinbase again led a legal charge on the ins and outs of arbitration in the U.S. Supreme Court on Wednesday. The latest case isn’t about digital assets, directly, but it may be important for every modern consumer who buys, registers or contracts for a product or service – and for the businesses trying to stay out of court.

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Bitcoin Rally: Crypto Analyst Says New Peak Is Within Arms’ Reach

With the price movement of Bitcoin becoming less volatile and the markets becoming unstable once more, some people think a crash is imminent for BTC, while some believe and anticipate a potential for further upward surge.

New All-Time High For Bitcoin Is Within An Arms Reach

In a recent development on the social media platform X (formerly Twitter), Cryptocurrency analyst and investor, Crypto Jelle, has shared a bold prediction regarding Bitcoin – the leading crypto asset.

The crypto expert’s analysis came in light of the bearish speculations within the community around the price action of BTC. According to him, many people are discussing the bearish signs, pullbacks, and corrections that BTC could witness in the near future.

However, Crypto Jelle has asserted that despite the negative sentiments it “does not change anything about the bigger picture” for BTC. Furthermore, he has urged investors to “stick to the plan,” noting that a new all-time high is just “within arms reach.”

The post read:

Lots of people talking about bearish signs, pullbacks, and corrections, but these things change nothing about the bigger picture. Stick to the plan, all-time highs are within an arms reach.

Jelle has also highlighted another reason why he is bullish on Bitcoin and sticking with the digital asset. In another X post, Jelle stated that BTC is still holding above $50,000, with the entire crypto market cap approaching $2 trillion.

Bitcoin

Nonetheless, the “average Joe still does not care,” prompting him to believe that “the cycle is not over” yet. He further pointed out that there will be lucid indications that retail is about to flood the market.

As a result of this, Bitcoin is set to witness higher adoption as search interest for BTC will surge higher. Jelle anticipates that during this time, American-based crypto exchange Coinbase will return to its top spot in the app store.

BTC Compared To Warren Buffett’s Berkshire Hathaway Stock

Lately, a lot of market experts have appeared to be bullish about Bitcoin. One of these is Max Keiser, a BTC advocate, who has compared the crypto asset to the well-known Warren Buffett’s Berkshire Hathaway Stock.

According to Max Keiser, acquiring BTC today is just like buying Berkshire Hathaway shares in its initial days. It is noteworthy that during its earlier days, the stocks were sold for $1,500 each, which is now being sold for $628,000. With this comparison, Keiser advocates that BTC could potentially rise by over 41,000% at its present price of $51,000. 

This price of Bitcoin is down by over 2% in the past 7 days, currently trading at $51,147. CoinMarketCap’s data shows that its market cap is down by 0.86%, while its trading volume is up by over 6%.

Bitcoin

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Analyst: Bitcoin Has Never Been This Bullish, What’s Next?

While Bitcoin treads water around $50,000, with some predicting a slump, one analyst on X is swimming against the current, claiming the coin has “never been this bullish.” The coin is bullish despite cooling off from 2024 highs above $54,000.

Analyst: Bitcoin Is Bullish, Here’s Why

The analyst Mags argues that Bitcoin is, at spot rates, defying historical patterns and showing bullish signals, especially looking at the candlestick arrangements. Specifically, Bitcoin recently closed a weekly candle above the 0.618 Fibonacci level before the next halving event. Mags said this is the first time in the four-year cycle. 

Bitcoin price breaking structure: Source: Mags on X

Therefore, though Bitcoin prices have been moving horizontally in the past few trading days, with fears of price slumps, the development in the weekly chart is overly bullish. Further bolstering their optimism, Mags points to the increasing demand for Bitcoin from institutional investors following the launch of spot Bitcoin exchange-traded funds (ETFs). 

Wall Street heavyweights, including Fidelity, issue some of these products. BitMEX Research data shows that spot ETFs continue to siphon more and more coins from circulating supply, sending them to custodians, like Coinbase Custody, for safekeeping. These coins will likely be released in the coming years, not months.

Besides institutional interest, optimism for more price gains also stems from the absence of retail interest at spot rates. Data from Coinbase shows that unlike the spike in interest that drove Bitcoin to $70,000, mainly at the back of retailers, BTC prices are up, but the dynamics are changing. 

Will Retailers Take BTC To New Levels?

Solid data reveals that retailers are mostly not interested in the coin at spot rates, looking at the amount retailers have been spending on the coin. By Q4 2021, retailers acquiring Bitcoin via Coinbase spent roughly $177 billion. However, this figure sharply fell throughout 2022 during the bear market, finding support in H2 2023.

Then, according to exchange data shared by Will Clemente on X, retailers began loading the coin from Q3 2023. The figure has risen to around $39 billion in Q1 2024–less than 25% of Q4 2021 volumes.

Coinbase retail trading volume | Source: Will Clemente on X

How retailers will impact the price of Bitcoin in the future is yet to be seen. In the past, retail fear of missing out (FOMO) has been a critical price driver. Presently, CoinStats sentiment tracker, Fear & Greed indicator, stands at 74, at “greed” territory, down from “extreme greed” on February 22.

Bitcoin price trending upward on the daily chart | Source: BTCUSDT on Binance, TradingView

This reduction could be possible because of the fake breakout that lifted Bitcoin above $53,000. The coin has support at $50,500 but generally remains in a bullish pattern.

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Bitcoin Bulls Persists: Analyst Identifies Trend As Catalyst To $60,000

As the entire cryptocurrency market is currently experiencing a notable upward trajectory, several market analysts are anticipating more gains for Bitcoin, the leading cryptocurrency asset, as they predict the token’s price to go even higher.

Historical Trend That Will Send Bitcoin To $60,000 

Crypto Jelle, a cryptocurrency analyst and investor, has expressed his optimism toward Bitcoin’s price action. Jelle recently shared a positive prediction for BTC in the near future on the social media platform X (formerly Twitter).

The expert’s projections delve into the present price movement of Bitcoin and its potential to increase even further. He highlighted a trend which serves as a catalyst for a price increase.

Jelle’s X post was accompanied by a chart that shows that the crypto asset has formed a “Bullish Megaphone” pattern. According to him, this is “yet another bullish megaphone pattern,” suggesting the price will go higher, putting his price target at $60,000. If Bitcoin manages to maintain its current momentum amid the crypto market’s rally, it is possible that BTC’s price might reach $60,000.

Bitcoin

In another X post, Jelle also pointed out that the token is presently in an area in which it normally sees the best gains. Jelle revealed that the BTC always experiences the best return when its “weekly Relative Strength Index (RSI) is above 70.” Due to this, he has urged his thousands of followers to invest significantly in the token to position themselves for more gains.

BTC finished the previous week on a bullish note, staying put above the $52,000 threshold in the face of strong opposition. This simply suggests a strong faith and dependency on the digital asset from investors.

After going past the $52,000 level, it set a new weekly culmination record spanning two years. Because of Bitcoin’s tenacity and upward movement, investors and market watchers are anticipating what lies ahead.

Massive Whale Moves Amid Price Rally

In light of BTC’s rally, Whale Alert has reported massive whale transactions carried out hours ago. Whale Alert revealed that around 18,484 BTC valued at about $962 million were taken out of the decentralized exchange Coinbase.

The on-chain tracker reported that the aforementioned withdrawals were carried out in two distinct transactions. Whale Alert noted that the first transaction saw 9,322 BTC worth approximately $485 million being withdrawn from Coinbase.

Meanwhile, the second transaction witnessed 9,162 BTC valued at about $476 million being extracted from the same exchange. Both wallet addresses involved in the withdrawal appear to be new ones, as they had no previous transaction history.

As of the time of writing, Bitcoin was trading at $52,336, indicating an increase of over 9% in the past 7 days. Despite the price rise, its trading volume appears to be down by over 10% in the past 24 hours.

Bitcoin

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Coinbase Custody Accounts For 90% Of All Bitcoin ETFs – Details

Coinbase Custody reportedly now holds over 90% of all Bitcoin ETFs in the United States. This development was revealed by the crypto exchange’s CEO, Brian Armstrong, while appraising the company’s performance in the fourth quarter (Q4) of 2023.

Coinbase Emerges As Major Player In Bitcoin ETF Market

In an X post on February 16, Brian Armstrong shared specific highlights of Coinbase’s achievement in Q4 2023. In particular, He noted that the American crypto exchange has played a crucial part in facilitating the adoption of cryptocurrencies by traditional financial firms (TradFi).

A major part of this adoption is the Bitcoin ETF market which is worth $37 billion, ranking as the second largest commodity ETF market after Gold. Armstrong noted that Coinbase has played a significant role in this development, serving as custodian for 90% of the investment funds in the Bitcoin ETF market.

For context, a custodian is a regulated financial institution that holds customers’ securities and assets, providing protection against any form of loss or theft. Notably, Coinbase is listed as the custodian for eight of the 11 recently launched Bitcoin spot ETFs. These include BlackRock’s IBIT, Ark Invest’s ARKB, Bitwise’s BITB, and Grayscale’s GBTC, among others.

These statistics indicate that Coinbase is well placed to record larger milestones as the top traditional financial institutions are tipped to finally invest in Bitcoin ETFs, especially upon the proven success and stability of the Bitcoin spot ETFs.

According to Armstrong, other notable Coinbase achievements in Q4 2024 include the launch of the exchange’s international wing, and the layer-2 blockchain solution Base. The crypto exchange also claimed to slash its annual costs by 45% while generating a total income of $3.1 billion.

Looking Forward To 2024

In retrospect to 2024, Armstrong stated that Coinbase will maintain focus on its international expansion and new derivatives products. In addition, they will aim to promote the adoption of crypto payments by transforming the Coinbase wallet into a super app. 

Finally, the exchange CEO states that Coinbase will continue to advocate for a clear regulatory framework applicable to the crypto space. Armstrong says that Coinbase is committed to this course and is willing to explore all means, including legal processes as well as engaging the federal legislators.

CoinbaseCOIN trading at $180.28 on the trading chart | Source: COIN chart on Tradingview.com