Bitcoin's price is showing signs of recovery after a recent decline that nearly brought it below $100,000. Following pressure as the price struggled to breach the critical resistance range of $106,000 to $107,000, BTC experienced a 5% drop but is now starting to rise again. Despite optimism, the underlying market dynamics suggest fragility in this rebound, especially given the significant accumulation occurring among investors.
Recent performance indicates Bitcoin has been highly volatile this year, achieving new highs before sharply correcting. Initially, profits reached over $3 billion but plummeted as the price fell below $75,000 from its all-time high of $109,588. Recently, however, profits have begun to recover, reaching approximately $1.5 billion, pointing towards renewed interest in Bitcoin accumulation.
Data from Glassnode reveals that many wallet cohorts are transitioning from selling to modest buying, suggesting that even as sellers exit, there are buyers ready to take their place. This is especially relevant as long-term holders, who have seen significant profits, are now choosing to sell, albeit at a discount. This dynamic reflects a lack of urgency in the buy-side, which may hinder upward price movements.
Looking ahead, Bitcoin's price structure remains bearish, with continuous formation of lower highs and lows on both daily and weekly charts, indicating weak short-term momentum. Analysts predict Bitcoin will likely test the local support level below $100,000 in the days to come, specifically around $99,737. If this support holds, a potential rebound might lead to targets around $104,400, but the bearish momentum suggests a challenging road ahead.
Recent performance indicates Bitcoin has been highly volatile this year, achieving new highs before sharply correcting. Initially, profits reached over $3 billion but plummeted as the price fell below $75,000 from its all-time high of $109,588. Recently, however, profits have begun to recover, reaching approximately $1.5 billion, pointing towards renewed interest in Bitcoin accumulation.
Data from Glassnode reveals that many wallet cohorts are transitioning from selling to modest buying, suggesting that even as sellers exit, there are buyers ready to take their place. This is especially relevant as long-term holders, who have seen significant profits, are now choosing to sell, albeit at a discount. This dynamic reflects a lack of urgency in the buy-side, which may hinder upward price movements.
Looking ahead, Bitcoin's price structure remains bearish, with continuous formation of lower highs and lows on both daily and weekly charts, indicating weak short-term momentum. Analysts predict Bitcoin will likely test the local support level below $100,000 in the days to come, specifically around $99,737. If this support holds, a potential rebound might lead to targets around $104,400, but the bearish momentum suggests a challenging road ahead.
