Top Reasons Why Bitcoin is Surging Today and Could Break Through $25K in the Next 48 Hours

The post Top Reasons Why Bitcoin is Surging Today and Could Break Through $25K in the Next 48 Hours appeared first on Coinpedia Fintech News

The crypto markets are surging heavily as the global market capitalization is saved from dropping below $1 trillion, marking a rebound beyond $1.12 trillion. Bitcoin’s price has soared by more than 10% since the early trading hours, reaching levels beyond $24,600 for the first time since August 2022. The iconic rally was caused by a number of factors, some of which are listed below.

Hash Rate at its ATH

Source: Messari.io

The hash rate, the network’s processing power to process transactions to create new tokens, is referred to as “mining” and is heading towards ATH. The rise in the hash rate indicates more nodes are competing among themselves to validate the transactions. As a result, the network becomes more decentralized, with less risk of a security breach.

Short Liquidations

Source: Coinglass

Bitcoin shorts have been active in recent days, successfully preventing the price from rising above $22,000. However, a massive upswing was recorded, and one of the primary reasons could be large short liquidations of more than $78 million from the previous trading day, which increased the BTC price by more than 12% in just a few hours.

Consolidating DXY

Source: Tradingview

The DXY Index measures the value of the US dollar. The levels peaked in early February when the Bitcoin price remained heavily consolidated below $22,000. As the index faced rejection from an interim high of $104, the Bitcoin price accelerated and surpassed $24,900.

Collectively, Bitcoin prices will mark new highs in 2024 and also possess the possibility of reaching $25,000 at any moment from now. The price is closer to slicing through the crucial 200-day weekly MA and after a successful chase, Bitcoin is believed to resume a firm upswing seeking higher targets.