Key Points
- Bitcoin (BTC) surpassed the $70,000 mark on June 3, continuing its upward trajectory.
- Ethereum (ETH) also hit a new high for the month, buoyed by the expected launch of spot Ether ETFs in the US.
On June 3, Bitcoin (BTC) breached the $70,000 mark, continuing the gains from the previous day.
The BTC price saw an increase of nearly 4% on the day. The start of the week saw a renewed attempt by bullish investors to convert the $69,000 level – Bitcoin’s previous all-time high for 2021 and a significant psychological level – into a strong support.
Spot Market Dominates
Popular trader Skew noted a price premium on perpetual swaps while observing the current situation on exchange order books. He emphasized the importance of the $70K mark and expressed his expectation for a continued decline in the perp premium towards more of a spot premium.
According to CoinGlass, a monitoring resource, BTC/USD was cutting into the overhead liquidity above $70,000, with little resistance nearby at the time of writing. Another trader, Daan Crypto Trades, highlighted the significance of the $66K and $72K levels from a liquidity perspective.
Expectations for Price Discovery
Bitcoin’s relatively quick gains have led to renewed calls for a return to price discovery. Trader Kaleo suggests a target of $100,000 for BTC/USD, nearly three months after hitting its most recent all-time highs.
The crypto market was also buoyed by optimism around Ethereum (ETH). Trading firm QCP Capital noted favourable market conditions for both Bitcoin and altcoins, predicting that the entire crypto market would benefit from the anticipated launch of spot Ether exchange-traded funds (ETFs) in the US.
The firm also noted that speculators are increasing long positions in other major cryptocurrencies in anticipation of additional spot ETF approvals in the near future. As a result, ETH/USD reached new month-to-date highs of $3,849 at the Wall Street open.
