Bitcoin has seen intense demand at the $61K-$62K levels amid easing selling pressure, with this reaccumulation phase expected to trigger an upward breakout.
According to IntoTheBlock data, around 237,000 active addresses acquired BTC when the price traded between $61,000 and $62,600 range. This demand is sufficient to keep Bitcoin above $60,000.
The same data also shows that Bitcoin activity has spiked significantly since the beginning of the new month. Yesterday, the number of active BTC addresses surpassed 900,000, reaching levels last seen in April.
The growing demand comes as BTC holds the $62K level. It could also be part of a bigger trend as traders reaccumulate at the current price.
“If the reaccumulation phase continues, we could expect a breakout towards (markup phase) as the next step in the Wyckoff cycle,” one analysis stated.
Bitcoin was trading at $62,937 at the time of writing after a slight 0.6% gain in 24 hours.
Easing Selling Pressure Could Propel BTC to $78,000
The growing demand for Bitcoin coincides with easing selling pressure and, consequently, a reduction in supply. The shift in the forces of demand and supply could propel BTC to the next significant target of $78,700.
According to Matthew Sigel, VanEck’s Head of Digital Assets Research, BTC miners sent an average of $3.29M in Bitcoin daily to exchanges in June, representing a 45% increase from the previous month.
He notes that the market is now adjusting to the reduced supply of Bitcoin following the April halving event, which saw miner rewards slashed by half. As the market adjusts, Bitcoin might be headed for a major recovery and price appreciation.
“We view miners’ recent transfers to exchanges as being analogous to their Q3’20 flows, while today’s prices remain relatively “ahead of schedule,” hovering at previous all-time highs more similarly to Q4’20. Accordingly, we interpret increased exchange flows as a bullish indicator,” Sigel noted.
This analysis is confirmed by CryptoQuant data that shows sellers are finally exhausted. The declining outflows signal that large-scale selling pressure is diminishing, with investors being more likely to hold their assets rather than sell.
If this demand continues to grow as sellers exit the market, Bitcoin is poised for a healthy price recovery that could result in a fresh all-time high.
According to crypto analyst “AliCharts” on X, the most crucial resistance for Bitcoin is $65,795. If it breaks this level, the next target will be $78,700.