Bitcoin Surges Over $3,500, Approaches $100K Mark with Renewed Investor Interest

Bitcoin surged by over $3,500, hitting $97,469, with strong trading volume. The cryptocurrency market is now valued at $2.98 trillion. Resistance levels are tightly set between $97,800 and $98,000. Investor interest is rekindling, with major companies planning significant Bitcoin acquisitions. The overall market signals a cautious bullish outlook as Bitcoin approaches $100,000 again.

Bitcoin has experienced a notable surge, rising to $97,469 per coin after hovering around $94,000 earlier in the day. With trading volume hitting $24.27 billion, the leading cryptocurrency accounted for an impressive 33.11% of total trades. This sudden uplift has begun to grab investors’ attention once more, contributing to a market cap that now stands at $2.98 trillion, recording a 1.16% increase daily.

After dropping to a low on May 5, Bitcoin managed to rally over $3,500, peaking just after 8:25 p.m. Eastern time on Tuesday. By then, BTC was trading at $97,283, reflecting a 2% increase within 24 hours and a 2.8% rise over the past week. However, the cryptocurrency now faces significant obstacles around the $97,800 and $98,000 price levels as it tries to break through these ceilings.

Just days earlier, Bitcoin had reached a high of $97,938, but subsequent market activity saw it decline, culminating in a sharp decrease. The selling pressure during this period was substantial. Observations from current oscillator metrics suggest a cautiously optimistic outlook, with the Relative Strength Index (RSI) close to 66, hinting at overbought conditions but not quite entering the speculative territory, which is good for sustained demand.

The Average Directional Index (ADX) stands at 30, indicating that Bitcoin is indeed forming a trend, but this trend is still consolidating momentum rather than definitively moving in one direction. The buying enthusiasm seen today suggest that investors may be revitalising their faith in Bitcoin after a recent downturn.

In the past four hours alone, data from Coinglass points to over $40 million in short positions being forcibly closed, while more than $55 million worth of liquidations occurred in the last day. These collective signals across the market are starting to align with a budding bullish attitude, albeit cautious and measured.

Greg Magadini, a derivatives director at Amberdata, noted to Bitcoin.com News that as Bitcoin approaches the $100,000 mark once more, more private firms are looking to add Bitcoin to their balance sheets. Currently, around 70 companies globally are engaged in this trend. This influx of funds, coupled with the renewed interest in Bitcoin ETFs, suggests that all-time highs might be on the horizon once again.

Magadini further pointed out that during last week’s earnings call for MSTR, Saylor hinted at plans to double the company’s Bitcoin acquisition targets over the next two years. Notably, they aim to raise approximately $84 billion for further Bitcoin investments, signifying a strategic push in the cryptocurrency space.