In October, Bitcoin saw an 11% increase, fueling optimism among traders who believe a supply shortage in OTC markets could lead to a substantial price surge. Although growth has been more modest compared to previous Octobers, speculation is growing that an imminent price jump may result from constrained supply and high demand.
Market Watchers Predict a Bitcoin Squeeze
According to trader Alex Becker, the buying activity from OTC institutions has been substantial, contributing to speculation that a squeeze may be on the horizon. Becker suggests that, at some point, major media outlets will report Bitcoin’s all-time highs, enticing retail investors—only to find a lack of supply on platforms like Coinbase.
Echoing these sentiments, cryptocurrency traders highlighted rumors about OTC markets nearing a supply shortage, which could drive a dramatic price increase. The scarcity narrative continues as Bitcoin approaches its previous peak of $73,679, though public interest has yet to match this upward momentum.
October Performance Raises Questions
Starting the month at $65,634 and closing at $72,335, Bitcoin’s 11% gain underperformed the usual October average of 22%. Initial concerns over Uptober’s expected growth arose as the price briefly fell below $60,000 on October 11, but it rebounded by the end of the month, crossing $70,000. Despite missing its historical performance, this recovery has bolstered confidence among investors looking forward to further growth in the coming months.
Bitcoin’s recent performance has not only attracted interest from institutional traders but has also stirred discussions among retail investors, many of whom are cautiously optimistic about a potential bull run. Despite the relatively modest gains compared to historical October trends, the late surge above $70,000 has renewed hopes that Bitcoin may soon challenge its all-time highs. Analysts note that if the supply constraints in OTC markets continue, it could create a ripple effect, tightening the availability on other exchanges and possibly driving a sustained upward trend in Bitcoin’s value.
