Bitcoin saw a sharp sell-off earlier this week that briefly sent prices tumbling below $60,000. However, the cryptocurrency has staged an impressive recovery back above $67,000, leading analysts to call for new all-time highs soon.
According to a recent CoinDesk article, Bitcoin fell from record highs above $69,000 on Tuesday in what seemed like a massive capitulation event. Prices dropped as low as $55,000 amid huge volatility.
However, Bitcoin quickly rebounded the very next day, surging back above $67,000. Analysts at Swissblock noted Bitcoin successfully retested support around $59,000-$62,000 during the sell-off. This area provided a springboard for the huge “V-shaped” recovery.
Swissblock now believes Bitcoin has started a new uptrend targeting $76,000. The firm pointed to Bitcoin breaking back above $62,000 as the trigger for renewed bullish momentum.
Other analysts agree that Bitcoin looks poised to take out its former highs. Trading firm QCP Capital called the bounce “extremely impressive” and said the dip helped relieve excessive leverage. With the path higher now open, they expect Bitcoin to break out soon.
Data shows Bitcoin spot ETFs saw massive inflows during the plunge below $60,000, indicating strong dip-buying interest. Assets under management across ten new Bitcoin ETFs swelled by over $600 million during Tuesday’s crash.
The CoinDesk report highlights Bitcoin’s resiliency even amid massive volatility. The cryptocurrency has rebounded powerfully many times before after massive drops. This latest recovery may be a prelude to new all-time highs if bullish analysts prove correct.
With prices stabilizing above $67,000, Bitcoin appears ready to take another shot at the $70,000 level and beyond. The bull run may only be getting started as adoption continues growing.