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Bitcoin traded within a relatively narrow range of $91,700 to $88,700 over the weekend, demonstrating robust price action. Despite the lack of significant price movement, the consistent ability to stay within this range underlines Bitcoin’s current strength and growing market confidence.
Key data from CryptoQuant provides further optimism, showing a notable reduction in selling pressure. The data suggests there are fewer sellers in the market, which aligns with the broader bullish sentiment that has fueled Bitcoin’s recent momentum. With the supply side constrained, demand could push BTC higher, reinforcing the weekend’s strong price action.
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This optimistic backdrop has led to predictions of aggressive gains in the coming months as Bitcoin remains well-positioned to benefit from favorable market dynamics. Analysts suggest that with selling pressure limited and demand continuing to grow, Bitcoin could be preparing for its next major breakout.
Investors are closely watching to see if this strength will lead to a new phase of upside momentum, potentially pushing BTC into uncharted territory as the market anticipates the next big move in this bullish cycle.
Bitcoin flow to exchanges supports bulls
Bitcoin has had an exciting few weeks, rising 39% in just nine days, marking one of the most aggressive upward moves of this cycle. The recent rally has analysts and investors both excited and cautious as Bitcoin continues to show resilience above key levels. While many expect BTC to continue its bullish trajectory, opportunities to buy at lower prices are becoming increasingly scarce.
Data from CryptoQuant analyst Axel Adler adds valuable insight into current market dynamics. Adler notes that the average flow of Bitcoin to exchanges over the past 30 days has not exceeded the average volume of the past 365 days.
This indicates a lack of significant selling pressure, indicating that current holders are more likely to hold their Bitcoin rather than sell in the rally. With fewer sellers in the market, Bitcoin’s price has the potential to rise further as demand increases.
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However, analysts agree that consolidation around the current price range would be a healthy move before the next move higher. Consolidation could allow the market to stabilize, attract new demand and establish stronger levels of support for the next phase of growth.
BTC less than 2% away from ATH
Bitcoin is trading at $91,700, just under 2% away from its all-time high (ATH) of $93,483. This proximity to record levels has fueled optimism among investors, with the price looking set to rise above the ATH again this week. Bitcoin’s price action remains robust, supported by increasing demand and bullish sentiment in the market.
The continued strength of BTC’s price is attributed to BTC’s ability to maintain significant levels during consolidation periods. This resilience indicates that buyers continue to dominate, strengthening the possibility of another breakout above the $93,483 mark. Analysts expect that breaching this level would likely lead to a new wave of aggressive buying, potentially pushing Bitcoin into further uncharted territory.
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However, caution remains necessary. A breakdown below $87,000 would be a signal for Bitcoin, potentially initiating a short-term correction in the coming days. Such a move could provide a healthier foundation for the next phase of growth, allowing BTC to consolidate and attract new demand.
Featured image of Dall-E, chart from TradingView
Credit : www.newsbtc.com
