Bitcoin Breaks Above $78,000 Amid Improved Risk Appetite

Bitcoin's price has finally broken above $78,000, a level that momentum traders had been waiting for. This move is driven by improved risk appetite following President Trump's extension of the Iran ceasefire.

Onchain data from CryptoQuant shows that Bitcoin balances on centralized exchanges have reached multi-year lows, suggesting that investors are holding onto their coins and potentially leading to a supply shortage.

While some analysts, such as QCP Capital, are cautioning against excessive optimism, citing the persistent relative richness of Bitcoin put options on Deribit, others believe that this breakout is a sign of strengthening bullish momentum.