On Tuesday morning, cryptocurrency prices continued to climb while the stock market was trending downward and gold remained flat, indicating that the next phase of the cryptocurrency bull market may be accelerating.

Data provided by TradingView showed that Bitcoin (BTC) bulls carried their momentum from Monday and bounced the highest cryptocurrency price to a high of $67,960 shortly after the US market opened, the highest price since late July.

FxPro Senior Market Analyst Alex Kupcsikevich noted: "On Tuesday, Bitcoin prices once surpassed $66,500, matching the high point on July 30." "This is a very nominal breakthrough above the previous high point and attempts to consolidate the resistance level of the downward channel."

Kupcsikevich added: "A significant driving force is the ongoing optimism in the US stock market." "Unless there is any sudden profit-taking, Bitcoin may consolidate the breakthrough from the downtrend of several months. The potential first target of the new bull market seems to be the historical high point, as it approaches $74,000, and the more distant target by the end of the year is $80,000."

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The surge in funds flowing into Bitcoin spot exchange-traded funds (ETFs) foreshadows the continuous growth of King Crypto's wealth. Data from Farside Investors showed that on Monday, the assets managed by 11 ETFs increased by nearly $556 million.

Further evidence of the heating up of the bull market, according to Glassnode data, is that on Monday, the open interest of cash-settled Bitcoin futures contracts reached a historical high of 384,000 BTC ($25.5 billion), surpassing the peak of 376,000 BTC in November 2022, when Bitcoin was trading near $16,000.

Blockchain data analysis company CryptoQuant also noted that with the new ATH of Bitcoin open interest, "the financing rate has reached the highest positive level since August, indicating that most open interest tends to Bitcoin long positions."

CryptoQuant analyst EgyHash said: "This upward trend in the derivatives market indicates that liquidity is continuously flowing in, and the attention to the cryptocurrency field is also increasing." "The rise in financing rates further indicates the bullish sentiment of traders."

The rise in bullish sentiment is reflected in the cryptocurrency Fear and Greed Index, which is currently in the "greed" range at 65, the highest level since late July, after being in a neutral range last month.

Standard Chartered's Global Head of Digital Asset Research, Geoff Kendrick, said that several factors are driving the construction momentum of Bitcoin, including the steepening of the US Treasury yield curve and the market's renewed interest in Bitcoin spot exchange-traded funds.In a report on Tuesday, Kendrick stated: "For Bitcoin, a combination of factors means that the price of Bitcoin could drop to its all-time high of $73,800 before the election." He added that Bitcoin and other digital assets are "finally starting to rise" in response to the steepening of the 2s10s yield curve following the stronger-than-expected CPI data on Thursday.

He also emphasized that a surge in ETF inflows and increased activity in the derivatives market are key factors driving Bitcoin's recent rise.

Kendrick observed increased activity in Bitcoin call options with a strike price of $80,000 expiring on December 27 at the Deribit crypto derivatives exchange, emphasizing that "over the past week, the open interest in $80,000 call options has increased by another 1,500 Bitcoins," and indicating that institutional investors are preparing for a significant rise in the medium term.