Bitcoin’s market trends reflect a substantial bullish momentum, with recent price increases of over 10%. Significant shifts in supply ownership show a movement towards long-term holding. Short-term traders are absorbing new supplies effectively. Despite a slight price dip recently, Bitcoin’s stability above key thresholds and encouraging ETF inflows suggest a likely continued upward trajectory, with future resistance at $96,000.
The Bitcoin market has recently displayed significant bullish behaviour, with prices climbing by over 10% last week. This price surge is underpinned by strong investor activities, suggesting that demand will likely fuel a sustained upward trajectory for Bitcoin’s value.
Noteworthy developments reported by crypto analyst Axel Adler Jr. reveal that around 359,000 BTC, valued at approximately $33.84 billion, shifted from short-term holders to long-term holders between April 4 and 21. This transformation is attributed to coin maturation rather than selling pressure, indicating growing confidence in Bitcoin’s future among investors.
Adler also observed that the supply of short-term holders has surged by 70,000 BTC, equating to about $6.59 billion in the last couple of days after Bitcoin’s latest price rally. The influx of these holdings stems from long-term holders cashing in their profits during the price increases, yet short-term holders seem keen to absorb this new supply.
This growing demand is evident as Bitcoin consistently stays above the crucial threshold of $92,200, the average cost basis for short-term holders. This reflects not just the confidence of long-term investors but also the active entry of new buyers into the market, thus bolstering the short-term holder population.
In summary, market signals indicate a healthy blend of coin maturation and effective redistribution of tokens, alongside Bitcoin’s stability above the short-term holders’ cost basis. This scenario positions Bitcoin for potential strong upward momentum in the forthcoming weeks.
Currently, Bitcoin is trading at $94,408, which is a slight decline of 0.78% over the past 24 hours. However, the trading volume has plummeted by over 55%, hinting at a potential decline in market activity. Despite this, Bitcoin’s bullish trend seems intact after overcoming the $91,000 resistance and alongside encouraging ETF inflows, which totalled around $3.06 billion recently.
The next resistance point seems to be around $96,000, surpassing which could trigger new highs close to the $100,000 mark; yet, if the price faces rejection, it may revert back to the $92,000 level, creating a range-bound scenario for the time being.
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