- The bearish trends in Bitcoin price might be nearing its end after the coin hit a bottom at the $63,000 range.
- Bitcoin analysts are optimistic that with more holders than traders, a rebound is imminent in the near term.
Bitcoin (BTC) recently saw its price hitting bottom at $63,372.11, after days of consistent pullback in the latest market downturn. Nevertheless, market analysts confirm a price reversal for the leading cryptocurrency, with the potential to reach the $70,000 mark.
Optimistic Outlook Rises for Bitcoin
Many market analysts claim the recent market downturn which saw Bitcoin decreasing by 4.46% is only a stepping stone to a major price recovery. Popular crypto analyst, Michaël van de Poppe says Bitcoin is now gathering upward momentum after it has likely bottomed around the $63,000 to $65,000 range.
#Bitcoin has likely bottomed in this area between $63-65K and finding itself in upward momentum.
As a result, #altcoins start to show more strength, as the Bitcoin dominance is going down.
The reversal is on the horizon. pic.twitter.com/i4yuVRIX0j
— Michaël van de Poppe (@CryptoMichNL) June 20, 2024
van de Poppe added that altcoins are beginning to demonstrate more strength as Bitcoin’s dominance declines. His statement suggests an imminent market reversal. As a reminder, while Bitcoin dropped from its early-month high of $71,907 to a low of $64,066, prominent altcoins also slumped more than twice that rate.
Adding to Bitcoin’s bullish sentiment is Bitcoinsensus, a crypto analyst. The analyst claims Bitcoin’s chart appears very bullish based on perspectives from an Elliott Wave. Bitcoinsensus emphasizes that BTC is at the final phase of an upward impulse, corresponding with its current wave 5 on multiple time frames.
The #Bitcoin illiquid supply has increased since May, suggesting that people are holding their assets more than trading. 🤔 pic.twitter.com/3uTVM0CpNh
— Bitcoinsensus (@Bitcoinsensus) June 20, 2024
Citing data from Glassnode in a follow-up post, Bitcoinsensus noted an increment in Bitcoin’s illiquid supply since May. What it suggests is that people holding Bitcoin are more than those trading. If this situation persists, Bitcoin could see its price moving higher as fewer coins become available for trade.
The resilience observed in the Bitcoin derivatives markets is another factor strengthening Bitcoin’s price recovery case. Renowned crypto analyst Ali Martinez highlighted in a chart that 70.27% of all accounts on the Binance exchange with an open Bitcoin position are going long.
Can Bitcoin Price Recover to $70,000
At press time, BTC is trading at $63,765, representing a 1.6% decrease in the past 24 hours, with the market cap standing at $1.2 trillion.
Bitcoin’s ability to reach the $70,000 mark is very possible considering it recently saw a cycle high of $71,907 earlier this month. Within the past day, the trading volume increased by 17.9% to $26 billion, demonstrating a renewed investor sentiment.
While Bitcoin is showing signs of recovery, its ability to reach $70,000 could be hampered by capitulation from miners. Ki Young Ju, founder of CryptoQuant, a leading crypto analytics platform, suggests early Bitcoin miners may have cashed in on a profitable opportunity.
Marathon Digital, the largest #Bitcoin mining company, sold 1K $BTC yesterday, likely to cover expenses, marking the highest daily OTC volume since late March.
h/t @jjcmoreno pic.twitter.com/jM2C2TN8sN
— Ki Young Ju (@ki_young_ju) June 11, 2024
According to Ju, these miners sold a substantial amount of BTC, estimated at around $550 million, within a price range of between $62,000 and $70,000.
While this selling spree might be nearing its end, another potential source of pressure has emerged. As previously reported by Crypto News Flash, the German government has started offloading Bitcoin holdings onto exchanges. This situation raises concerns about additional downward pressure on Bitcoin’s price.
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