Initial indicators hint at an uptick in inflows to the Bitcoin network, sparking hope for a potential trend reversal. A cryptocurrency analyst reported on Twitter that lighter blue bands reflect net flows from U.S. spot exchange-traded funds (ETFs), suggesting renewed interest and momentum in the network. However, confirmation of a reversal requires at least a week of sustained observation.
Early signs, if I squint *just right*, that flows into the #Bitcoin network are picking up again. Probably needs another week to confirm this trend reversal properly.Lighter blue is the net flows from US Spot ETFs. pic.twitter.com/MNau2edkeo
— Willy Woo (@woonomic) May 9, 2024
Range Low Provides Support
Bitcoin currently hovers near its range low, which is considered a pivotal support zone. Market participants are cautiously optimistic that this level will hold, enabling upward momentum to persist and prevent further downturns. A successful defense of this range could signal a sustained bullish continuation for the world’s largest cryptocurrency.
#Bitcoin is at the range low. This is technically the area where you'd prefer to see it hold, so the upward momentum continues, and the range holds.If this doesn't hold, then we might expect $52-55K as a potential low on this correction. pic.twitter.com/j4rWI0Ti7G
— Michaël van de Poppe (@CryptoMichNL) May 9, 2024
Despite these early positive signs, the analyst warns of potential downside if support at the range low falters. In such a scenario, Bitcoin could decline to a projected range between $52,000 and $55,000, marking a possible low in this correction.
