Bitcoin is Rising in the Asian Market, Analysts Have Different Opinions.

Good Morning from Asya

In the Asian market, Bitcoin is trading above $123,000. Analysts warn that this rise, driven by ETF inflows and medium-scale purchases, could also lead to potential volatility due to high leverage.

Ethereum, on the other hand, maintains stability at $4,516. This situation is supported by strong ETF purchases and positive expectations regarding upcoming updates.

Gold, driven by geopolitical tensions and especially demand from the central bank of China, has reached a historic high above $4,000.

Bitcoin started the Thursday trading day in Asia by surpassing $123,000. Analysts describe the price chart as navigating through a thick fog, interpreting this as a sign of a strong bullish trend. There is a belief that the rise, fueled by ETF inflows and medium-sized accumulations, has not yet reached its peak.

This belief is based on three important signals from key market watchers. QCP notes that as political uncertainties deepen, capital exiting from AI stocks is being directed towards 'safe haven' assets like gold and Bitcoin. Glassnode highlights record levels of ETF inflows and points to resistance levels that have turned into support. CryptoQuant states that on-chain profit-taking is significantly below historical peaks, indicating potential for the rally to continue.

However, the conviction presented by these data also carries a sign of slackness. Open positions in futures have reached record levels, financing rates are above 8%, and the concentration of call-dominated option positions could leave the market vulnerable to a sharp decline if momentum weakens. Analysts suggest that this is a classic case of 'strong trend, weak hands.' Such situations typically require a leverage adjustment before the next rise.

Glassnode mentioned in its weekly report that the current pullback helps rebalance positioning. QCP Capital evaluates the recent drop as a repositioning move. Additionally, CryptoQuant points out that profit-taking remains low compared to previous market peaks.

However, there is a lack of coherence among the data tables. Glassnode emphasizes that the rally cannot stabilize without a leverage correction, while CryptoQuant argues that the market still has some breathing room. QCP frames this movement as a macro shift towards 'safe haven' assets.

The rise of Bitcoin is observed from three different perspectives. Financing rates are high, and open positions are still increasing. This situation may allow traders to achieve the correction they have indicated. The question is not whether Bitcoin can hold $120,000, but whether the depth or fragility of the next rally will manifest at the next dip.

Market Movements

Bitcoin (BTC): Bitcoin is trading above $123,000. After the pullback this week, Bitcoin is supported by ETF inflows and whale accumulations. Although short-term momentum may cool, institutional demand and the overall devaluation trade narrative are sustaining the rise as October enters its seasonally favorable period.

Ethereum (ETH): Ethereum is maintaining stability at $4,516. This is ensured by traders returning to a significant layer-1 asset. Additional support comes from strong ETF inflows and renewed institutional interest with the upcoming Fusaka update scheduled for December.

Gold: Gold surpassed $4,000 on Wednesday, marking the 40th record of the year. This rise is supported by geopolitical tensions, financial uncertainties in the US, and demand from the central bank of China, which has purchased gold for the tenth consecutive month.

Nikkei 225: Japan's Nikkei 225 index gained 1.1% on Thursday. This rise, which began after SoftBank's decision to acquire ABB's robotics unit for $5.4 billion, was bolstered by technological and cyclical stocks benefitting from loose monetary policies aimed at expansion by Prime Minister candidate Sanae Takaichi.

In the External Crypto World

Grant Cardone stated that Bitcoin investors should not follow the historical rally of gold (Decrypt).

Coinbase is seeking a 'token and governance research specialist' for the Base team (The Block).

Brevan Howard-backed tokenization firm is expanding its funds into Sei, reflecting growing interest in real-world assets (CoinDesk).