In a recent analysis shared on X, renowned crypto analyst Patric H. from CryptelligenceX presents seven compelling reasons why investors should feel optimistic about Bitcoin’s price movement this week. He emphasizes, “How can anyone be bearish here?! BTC broke the weekly downtrend, closing above key levels, and some people still call for sub-$40k?! Sorry, bears, you clearly missed the fundamental changes of the past two weeks.”
Mt. Gox Bitcoin Repayment Deadline Extension
The defunct exchange Mt. Gox has successfully filed for an extension on its repayment deadline, now set for October 31, 2025, a year longer than the initial October 2024 deadline. This crucial extension alleviates the immediate selling pressure of approximately 44,905 BTC (valued at around $2.9 billion), which was anticipated to flood the market. This development provides a more stable environment for Bitcoin, reducing fears of a sudden market downturn.
China’s Economic Stimulus
China has announced a substantial economic stimulus package, planning to issue $325 billion in bonds to invigorate its economy. In tandem, crypto exchange OKX has launched a fully licensed trading platform in the United Arab Emirates (UAE), paving the way for Chinese investors to legally participate in cryptocurrency trading under UAE jurisdiction. Patric H. forecasts, “Chinese money is gonna enter crypto in Q4,” suggesting a positive influx of investments into the crypto market.
Declining Bitcoin Exchange Reserves
Bitcoin exchange reserves are on a steady decline as institutional investors and large-scale holders continue to accumulate the cryptocurrency at unprecedented rates. This ongoing trend indicates a potential supply shortage on exchanges, which, when paired with rising demand, could trigger a supply shock. “Eventually, this will cause a supply shock, leading to higher prices in due time,” observes the analyst, highlighting the potential for significant price increases as supply diminishes.
Surge In Bitcoin Whale Accumulation
The accumulation of Bitcoin by new whales is reaching unprecedented levels, as on-chain data suggests. Ki Young Ju, CEO and founder of CryptoQuant, recently remarked, “The current market volatility is just a game in the futures market. Real whales move the market through spot trading and OTC markets. That’s why on-chain data is crucial.” This accumulation trend suggests that these whales are poised to hold onto their assets until a significant influx of retail investor liquidity enters the market, further stabilizing and potentially boosting Bitcoin’s price.
Trump Is Leading The Polls
Political forecasts indicate a favorable outlook for former US President Donald Trump, who is gaining traction in key swing states ahead of upcoming elections. According to the latest data from Polymarket, Trump is projected to win all seven key swing states. Patric H. reminds readers, “Trump is pro-crypto; Elon Musk will lead a Department of Government Efficiency (DOGE),” emphasizing potential positive impacts on the crypto market if Trump returns to power.
S&P 500 As Trailblazer
The S&P 500 index is trading at an all-time high, historically signaling a positive momentum for Bitcoin and the broader crypto market. “There has not been a time in history when Bitcoin and the altcoins market did not catch up to the performance of the S&P 500,” Patric H. points out, countering skepticism by noting the typical correlation between traditional markets and cryptocurrencies. This suggests that bullish trends in equities could positively influence Bitcoin and crypto prices.
Seasonality
Historically, the fourth quarter (Q4) has been the most bullish period for Bitcoin, particularly in halving years. “Bitcoin and the crypto market tend to outperform all asset classes in a halving year,” asserts the analyst, suggesting that the current market conditions could be ripe for significant gains.
Supporting these fundamental reasons, technical analysis also paints a positive picture for Bitcoin. Patric H. highlights that Bitcoin has closed above its weekly downtrend line, signaling a potential reversal from bearish to bullish momentum. Moreover, the cryptocurrency is holding firmly above the 50-week Exponential Moving Average (EMA), a critical support level. Additionally, the Moving Average Convergence Divergence (MACD) indicator has made a bullish cross for the first time since April, often interpreted as a buy signal.
“Yes, there will be pullbacks every now and then. But from now on, dips are for buying as the market structure clearly shifted from a downtrend to an uptrend,” Patric concludes. As of the latest market data, Bitcoin is trading at $68,397, signaling a robust outlook for the cryptocurrency.
