Key Points
- Bitcoin (BTC) is currently trading within a bullish accumulation zone, indicating a potential breakout.
- Activity suggests the market could be preparing for a major upside as investors accumulate the asset with long-term interest.
Bitcoin (BTC) is currently trading within a bullish accumulation zone, which could suggest a potential breakout.
Despite this, the market has been quiet, with BTC’s movements slowing down considerably.
Bitcoin’s Market Activity
Bitcoin has not made any significant moves over the weekend, with a minor decline of 0.29% and a past-week movement of 0.03%.
However, the activity during this period could indicate that the market is preparing for a significant upside as investors accumulate the asset with long-term interest.
Investors seem cautious with their holdings, unwilling to trade more BTC unless the market shows more positive signs.
This is evident from the Binary CDD metric on CryptoQuant, which assigns a value of 1 when long-term holders sell significantly and 0 when there is little to no activity from these holders.
Currently, the Binary CDD has a reading of 0, suggesting that investors are likely holding their assets long-term instead of selling at the current price.
Potential Upside for Bitcoin
At present, BTC is trading within an accumulation zone, fluctuating within a converging support and resistance range known as an ascending channel.
BTC is trading at the support level of this channel, which historically acts as a catalyst for major rallies.
If this level holds, BTC could see a 15% price jump to approximately $99,500.
This would require sustained and strong bullish momentum capable of breaking out of the pattern’s resistance line.
If BTC clears this resistance, it is likely to trend higher. However, failure to break out would result in continued consolidation within the current range.
As investors eagerly await Bitcoin’s next moves, the current sentiment can be described as the calm before the storm.
As always, it is advisable to follow the broader market movement and be prepared for Bitcoin’s next moves.