Why Is Bitcoin Price Going Up? Is a $115K Rally Next?

Bitcoin, the world’s largest cryptocurrency, jumped nearly 5% to around $81,015, recovering from the mid-$77,000 range as more than $603 million in crypto positions were liquidated. The rally comes as oil prices ease, U.S. crypto rules move forward, and Bitcoin ETFs see strong inflows

Now, Bitcoin is approaching a key resistance level, with a bullish W-shaped pattern pointing to a possible move toward $115,751.

Falling Oil Prices Ease Market Pressure

One of the main reasons behind Bitcoin’s sharp rally is the easing of tensions in the Middle East. Crude oil prices fell below $100 after Saudi Arabia found alternative supply routes through Oman, easing fears of major supply and transit disruptions.

Earlier this week, oil prices had climbed close to $108, their highest level in nearly four months. The rise came after reports that crude shipments from Saudi Arabia’s Red Sea export hub in Yanbu had been suspended.

Saudi Arabia also reportedly cancelled some deliveries to Europe after a pipeline attack last week. The events, along with rising tensions between Saudi Arabia and Yemen’s Houthis, had increased fears about future oil supplies.

CFTC Crypto Rules Add to Bitcoin Rally

Another factor behind Bitcoin’s price rally is the latest move from U.S. regulators. The U.S. Commodity Futures Trading Commission submitted new rules titled “Regulation Crypto Asset Transactions and Regulation Crypto Asset Markets” to the White House for review, entering the early rulemaking stage.