Key Insights:
- Bitcoin’s recent surge added more than $200 billion to its market value. Bulls now target resistance levels at $99,070 and $122,060.
- Vanguard’s move to allow trading of BTC, ETH, SOL, and XRP ETFs is seen as a catalyst. Analysts widely credit it for fueling the latest crypto market rally.
- Altcoins posted strong gains with top experts predicting the start of the next altseason.
The crypto market has staged a massive upside, triggering yet another $500 million liquidation event. Bitcoin price is leading from the front with 7% upside and surging past its crucial resistance of $93,000.
This development came right after Vanguard allowed crypto ETF trading. The platform now supports BTC, ETH, SOL, and XRP.
Bitcoin Price Leads Crypto Market Upside With 7% Gains
After a rough start to the month of December, Bitcoin and altcoins have staged a much-needed recovery today. As per the Coinglass data, the crypto market liquidations have soared to $500 million again. However, this time the short liquidations are up over $400 million.
Glassnode noted that the Bitcoin price faced a sharp rejection at the $93,000 level last week. As the asset makes another attempt to break through this resistance, all eyes are on large short-liquidation clusters.
According to Glassnode, these liquidations could serve as upside catalysts. Thus, forced buying by short sellers may amplify bullish momentum.
Bitcoin has climbed above $93,000 as leveraged short liquidations approached $400 million over the past 24 hours. The latest rally has added roughly $200 billion to Bitcoin’s market capitalization in just 36 hours.
While citing the Bitcoin pricing bands, crypto analyst Ali Martinez highlighted two major resistance levels for BTC. According to MVRV bands, the next key barriers for BTC are positioned at $99,070 and $122,060.
Is Vanguard Behind Today’s Crypto Market Rally?
Bloomberg ETF strategist Eric Balchunas said Bitcoin surged 6% around the U.S. market open on December 2. This happened soon after Vanguard lifted its ban on Bitcoin ETFs. The crypto market surged back above a $3 trillion valuation after the Vanguard decision.
Moreover, risk appetite broadened across the market amid growing expectations of a December Federal Reserve rate cut. This has triggered double-digit gains for some top altcoins like Ethereum, Solana, Cardano, and Chainlink.
Balchunas suggested the timing was unlikely to be coincidental. He noted that BlackRock’s IBIT recorded $1 billion in trading volume within the first 30 minutes.
On December 2, the cumulative inflows in U.S. Bitcoin ETFs were $58.5 million. BlackRock’s IBIT led with $120 million in inflows, as per data from Farside Investors.
However, amid today’s Bitcoin price surge, some market analysts suggested that this could be a temporary bounce. Popular market analyst Ted Pillows noted:
Altcoins Having A Field Day
Apart from the Bitcoin price upside, altcoins have also largely contributed to today’s crypto market rally. Top altcoins like Ethereum, XRP, and Solana are all up 9-12%, supported with strong upside in daily trading volumes.
Analyst Javon Marks noted that current altcoin market conditions closely mirror the early stages of the 2016–2017 cycle. This triggered one of the strongest altcoin seasons on record.
Marks said the present structure suggests altcoins may be positioned for another historic breakout. The market indicators align with prior periods of broad-based altcoin rallies.
Experts at 10x Research also shared a similar view. They noted that several major altcoins have moved back above their 30-day moving averages. Most of them are forming higher lows, signalling improving technical conditions.
The firm also noted that the recent market pullback has created healthier entry points. According to the guidance, accumulation near current levels may be favorable.
Bhushan is a FinTech enthusiast and holds a good flair for understanding financial markets. His interest in economics and finance draws his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In his free time, he reads thriller fiction novels and sometimes explores his culinary skills.
