Bitcoin hits $80,000 why?

[EluguHcman]

However, as Speculation goes around the internet, it is said that the moment Trump made the news about the Clarity Act.
That has also motivated institutions to buy more Bitcoins.

The Clarity Act is not the only catalyst for this sudden positive move. So my take is that almost all the factors stated in the pool might have contributed to the price increase. But you should know that these options are interrelated. An example is that Trump pushing the CLARITY Act might lead to high Bitcoin ETF inflows. Other options could also push ETF inflows.

We are still on the same page pointing at the Donald Trump's news with the Clarity Act being a source that triggered the velocities of the high Inflows of the Bitcoin ETF.

Microeconomics factors has also been of greatly influence over Bitcoin market of which, the Clarity Act following the Trumps speech had also been a signal to awaken institutional companies on the Bitcoin ETF as its regulations has also significantly been stipulated.

The belief that the bear season is over is untrue based on my projections. This move might be brief; we might have a drop in a few weeks or months.

Like I said in my OP, the bull will only last for sometimes because the bear is not over yet.
And like some of us may be emphasized, this peak being unusual is just going to be active in the main time that price will definitely fall back reminding us that the bear is not over yet. Only that the ETF high inflows is reacting giving volatility short term Uptrend supports.

[asriloni]

No blue chip asset will be going down forever. Bitcoin has been coiled for monthss, and it's reached the demand zone. So it's normal when it's moving up again to reach its supply zone. However, we're already achieving 80k. So a correction will occur a bit.

I believe none of those reasons in the polls are driving the spike of bitcoin. It's also my reason to vote none from those reasons.

I think all of news published before are just noise and it has no direct impact to the bitcoin.

[cxtreenal]

Bitcoin hits $80k, after over 100days.

To me this is not just a usual price move, what is driving this rally?

Please use the poll above.

Liquidity volatility is one reason for the price increase. When ideas start moving towards a certain limitless goal, it becomes difficult for an investor to uncover the possible reason among many reasons. Although most investors have high expectations for this journey, I thought that the price of Bitcoin would be limited to $80k - $85k. Currently, the price has started moving slightly lower or is trying to balance by maintaining a stable position.

The main reason is the increase in demand which is a manifestation of the global adoption of Bitcoin. I clicked on this pool "Nearly $2B in Bitcoin ETF inflows last week."

[buwaytress]

How about just normal ebb and flow? I actually remember just sitting there on an orderbook about to sell BTC and seeing that very first pump (hit 70k temporarily but most other charts didn't reflect that so I knew it was very shallow).

Definitely don't think it's a bull. There's usually all those other signs accompanying a bull and I'm not getting enough FOMO streaks elsewhere (that hits you in the face even when you're not looking).

[LUCKMCFLY]

Yes, it reached that level, but it didn't hold, and I think the main reason was that whales are testing the supply at that price. Seeing so much supply means the $77k-$80k range is heavy with sell orders, requiring stronger demand to absorb it. They're likely testing the waters, which is why the price is fluctuating, but that's not a bad sign at all.

Given how fast BTC has been moving, I suspect it's close to breaking above $80k, provided no major negative fundamental event triggers market panic. If broader conditions stay stable, the bullish momentum should carry on.

[Derekfunds]

Liquidity volatility is one reason for the price increase. When ideas start moving towards a certain limitless goal, it becomes difficult for an investor to uncover the possible reason among many reasons. Although most investors have high expectations for this journey, I thought that the price of Bitcoin would be limited to $80k - $85k. Currently, the price has started moving slightly lower or is trying to balance by maintaining a stable position.

The main reason is the increase in demand which is a manifestation of the global adoption of Bitcoin. I clicked on this pool "Nearly $2B in Bitcoin ETF inflows last week."

You confused me with your term "Liquidity Volatility" I don't understand how liquidity volatility caused the the recent price push, if you said market has gotten enough liquidity which makes the price to push up I will understand but saying liquidity volatility is very confusing perhaps you should break it down for me. When demand is high, buyers will always overwhelmed sellers thereby causing price to move in the uptrend. And yea when market move from a state of inbalance or inefficiency sometimes it will come and create a balance before continuing the...

[atookz]

Nearly $2 billion in Bitcoin ETF inflows last week — this is the most dominant factor and the one with the most verifiable data. The 22% rally from around $63,500 to $80,000 in such a short span was primarily driven by strong spot ETF demand, which was then accelerated by massive short liquidations (open interest fell ~11% to its lowest level in a month). The CLARITY Act and Treasury liquidity support helped build momentum since mid-August, but weren't the direct trigger for this week's breakout. Meanwhile, CFTC/SEC rule momentum has little supporting evidence as a catalyst for this period.

[greysonz]

Some events acted as catalyst too. In my opinion the US debt smashing through $40 trillion was a strong catalyst itself. A lot more people lost faith in fiat after that...

This is one of the reasons, perhaps the biggest, but not the only one. The weak dollar showed itself to the markets both in terms of its ideology (unsecured paper) and also by the fact that gold and bitcoin are traded against it, and this contributed to the rise of these assets. Well, plus the ETF flows, which steadily poured into the liquidity of bitcoin. And even though the price growth has stopped now and is testing 800,000-81,000, there is a positive sign about Glassnode: they noticed that the bitcoin options have prices of 81,000-86,000. This means that bitcoin's growth may continue higher.

Nearly $2 billion in Bitcoin ETF inflows last week — this is the most dominant factor and the one with the most verifiable data. The 22% rally from around $63,500 to $80,000 in such a short span was primarily driven by strong spot ETF demand, which was then accelerated by massive short liquidations (open interest fell ~11% to its lowest level in a month). The CLARITY Act and Treasury liquidity support helped build momentum since mid-August, but weren't the direct trigger for this week's breakout. Meanwhile, CFTC/SEC rule momentum has little supporting evidence as a catalyst for this period.

The passing of the Clarity Act has been dragging on for a long time, and it is remarkable to see the growth Bitcoin has achieved without the support of this legislation or any highly positive news regarding it.

[pooya87]

Next? Maybe we see the rally continue and set a new ATH before the year ends. This time somewhere in $150k to $200k?

Now, there's not data to back this. Wait!, in the last cycle, we saw an ATH before halving...it's possible

It's a speculation based on the very long accumulation phase we went through. I believe if we break $100k and start heading toward the previous ATH, we can see a good momentum forming that would push the price high nicely.

But I don't think we are going to see major rises like the past cycles (the bubbles) since the opposing force that is worsening recession is still with us.

I thought adoption got to its peak with the ETF and Trump emergence.

I don't think so. They were both temporary noise that didn't even create a big enough bull run!

[Bitcoin_Arena]

How about because it's the market being the market? You should have added that last option, and I would have voted for it. It does not mean that every time Bitcoin rises or falls, then there must be a reason behind it. Sometimes the markets just follow patterns that happen in a normal market. From the accumulation phase to an uptrend, retracement, downtrend, and repeat.

[Umulala-alala]

What happened to Bitcoin price is not a new thing I mean it has been happening for years now and this is also a normal market behavior that is, if you do trade or read the market charts. Once market ranges or consolidate for a particular price in a given period of time that is under support and resistance, once it breaks the support or resistance level the momentum will be very high and that was what happened to Bitcoin buyers took control and break the structure which causes the massive push or rally.

The recent increase in the price of bitcoin is coming as a shock to most investors because the price has been down for some time now that's why they keep asking what is behind the sudden increase in the price of bitcoin.

The price can't be down for ever i don't know why they forgot so soon that bitcoin will always fall and gain back momentum, i still wonder how it will be if bitcoin hit a new all time high (ATH), am not also surprised seeing the price going up because that is what makes it to be a volatile asset.

[fullfitlarry]

How about because it's the market being the market? You should have added that last option, and I would have voted for it. It does not mean that every time Bitcoin rises or falls, then there must be a reason behind it. Sometimes the markets just follow patterns that happen in a normal market. From the accumulation phase to an uptrend, retracement, downtrend, and repeat.

It's true, but we all know that market is based on speculation and there are news about it that pushes the price to $80k.

Same can be said right now, as there are news from US Federal Reserve chair Kevin Warsh’s comments on future monetary policy.

In his first keynote speech at the annual Jackson Hole Symposium, Warsh delivered a cautionary tone on inflation, committing to the Fed’s 2% target. The Fed chair doubled down on an earlier pledge to reduce the scope of hints over future policy that the Fed offers to markets, avoiding forward guidance altogether and stating that it would not make a reappearance in the future.

https://cointelegraph.com/markets/bitcoin-dips-fed-warsh-dismisses-recent-low-inflation-prints

So with this not so good news, the market plummets and we are seeing what could be a correction on we don't know how deep it could be.

[yhiaali3]

I think it is not possible to choose one option in the vote because the rise in price to $80K was not the result of one factor only but rather the result of the convergence of a number of factors, all of which contributed to the argument, but some of them may be more important than others.

It can be argued that ETF inflows are first because they represent a real and massive influx of institutional liquidity into the market, followed by mass liquidations of short positions then Treasury policy and regulatory momentum and Trump's political support for the Clarity Act.

[DanWalker]

I think it is not possible to choose one option in the vote because the rise in price to $80K was not the result of one factor only but rather the result of the convergence of a number of factors, all of which contributed to the argument, but some of them may be more important than others.

It can be argued that ETF inflows are first because they represent a real and massive influx of institutional liquidity into the market, followed by mass liquidations of short positions then Treasury policy and regulatory momentum and Trump's political support for the Clarity Act.

All these news came out around the same time, and they all had impact on the market. So yeah, the recent rise in Bitcoin was the result of the convergence and combination of these drivers.

But I'd rank their impact a bit differently. I think Treasury policies and Trump's statement were the first factor to kick in because they directly affected investor sentiment, creating positive expectation and encouraging money to flow back into the market.

Similarly, after the Fed Chair made some rather hawkish comment about interest rate today, investor sentiment immediately turned negative, and Bitcoin dropped right after.

[atookz]

Nearly $2 billion in Bitcoin ETF inflows last week — this is the most dominant factor and the one with the most verifiable data. The 22% rally from around $63,500 to $80,000 in such a short span was primarily driven by strong spot ETF demand, which was then accelerated by massive short liquidations (open interest fell ~11% to its lowest level in a month). The CLARITY Act and Treasury liquidity support helped build momentum since mid-August, but weren't the direct trigger for this week's breakout. Meanwhile, CFTC/SEC rule momentum has little supporting evidence as a catalyst for this period.

The passing of the Clarity Act has been dragging on for a long time, and it is remarkable to see the growth Bitcoin has achieved without the support of this legislation or any highly positive news regarding it.

Fair point and it's actually a reinforcement of what I stated earlier, that this rally was not because of the CLARITY Act, but in spite of it — with the bill still stuck in limbo. If it was primarily driven by ETF inflows and short liquidations, then that means that the market has enough confidence without waiting for regulatory certainty first. It demonstrates that institutional demand is strong enough to stand on its own, without pending legislation in Congress. Indeed, if such a rally can occur in the absence of regulatory support, that's a sign that institutional investors no longer see legal clarity as a requirement. Assuming the CLARITY Act passes, it will simply add to the momentum that's already building.

[Bit-Mj1014]

Even though the clarity act isn't officially law yet, the market always trades on anticipation rather than the news itself. Trump openly pushing for it gives institutions the legal confidence they've been waiting for.

[BALIK]

How about because it's the market being the market? You should have added that last option, and I would have voted for it. It does not mean that every time Bitcoin rises or falls, then there must be a reason behind it. Sometimes the markets just follow patterns that happen in a normal market. From the accumulation phase to an uptrend, retracement, downtrend, and repeat.

Indeed, the market is significantly influenced by macroeconomic and geopolitical news. But just like any other financial market, it has its own cycles and way of moving.

Bitcoin doesnt always go up or down because of some news or because someone said something. Sometimes that is simply how the market work. So, we don't need to overcomplicate it or run around looking for a reason behind every move.

Personally, I also believe what we're seeing is just part of the market's normal movement.

[coinrifft]

Even though the clarity act isn't officially law yet, the market always trades on anticipation rather than the news itself. Trump openly pushing for it gives institutions the legal confidence they've been waiting for.

I'm not sure if that is the reason for the recent pump as it was expected to be approved but it was not. So in any case that we talk about it, shouldn't be the reason for this so called bull run as others have pointing out.

But now the correction has happened, perhaps the pump is goes as it lasted or it is just shallow. However, as much as we said that Bitcoin is not influence by news then what can we say about the announcement of FED chair that definitely put a dent on the market in the last 24 hours?

[Awaklara]

Indeed, the market is significantly influenced by macroeconomic and geopolitical news. But just like any other financial market, it has its own cycles and way of moving.

With the large adoption by institutional investors, I am worried about a change from the cycle we have been following. They hold a significant amount of Bitcoin which can influence how the market responds. 
The normal market movements like the ones we see now have indeed been seen in the past. But market volatility seems to have decreased, not like before when it could rise quickly and fall quickly. Currently, the Bitcoin market is getting stronger.

[Finebone]

Bitcoin hits $80k, after over 100days.

To me this is not just a usual price move, what is driving this rally?

Please use the poll above.

I don't care to know the reason why Bitcoin price is driving upwards because it has been long overdue for a rebound. Trying to know why Bitcoin rise or fall in value as an investor that is only thinking of holding for a very long time is not ideal because you may be tempted to react, by selling when it's not due, so our focus shouldn't be on things like this, but rather in how to buy more and add to our stash, because that's the most important thing is by having a stash of bitcoin that can make you rich if Bitcoin rise to a million dollars in the future.