Bitcoin Ready to Counterattack 88,000?
This week, the price of Bitcoin ($BTC) fell below $60,000, hitting a low of $58,601. Bitcoin’s pullback has bloodbathed the entire cryptocurrency market. As of the time of writing this article, the price of Bitcoin is $62,110. In the past 24 hours It rebounded 2.4%, but is still down 4.5% over the past week.
Despite the fear and uncertainty in the market, some experts are still optimistic about its future. Two well-known analysts cited the latest on-chain data and technical indicators and predicted that a rebound may be imminent, with the opportunity to push Bitcoin all the way. Soared to $88,000.
These “2 Signals” Show Prices Are About to Rebound
The first is the well-known cryptocurrency market analyst Crypto Faibik. He drew a "bullish flag pattern" on the weekly chart of Bitcoin. The flag pattern is usually regarded as a continuation signal, predicting that Bitcoin will be bullish.
Crypto Faibik pointed out that Bitcoin’s recent consolidation is likely to prepare for another sharp rise later, and he predicted that Bitcoin is likely to surge to $88,000 by July or August.
Another well-known analyst Ali Martinez also has the same view, but he analyzes it based on the "Fear and Greed Index" that symbolizes the current market sentiment. The current Bitcoin Fear and Greed Index has dropped to 30.
Ali Martinez pointed out that this extreme decline in sentiment usually leads to a rebound. Historically, in the past 2 years, after the relative strength index (RSI) hit oversold levels, Bitcoin prices rose by 60%, 63%, and 198%.
He also pointed out that the current market value to realized value (MVRV) ratio is already below -8.40%. Judging from historical trends, whenever the MVRV ratio falls to such a level, it usually drives the price up by 28% to 100 soon after. %.
whales are accumulating
In addition, data from on-chain analysis company IntoTheBlock shows that whale Bitcoin investors are currently accumulating a large number of positions. According to the report, wallets that control at least 0.1% of the total supply of Bitcoin increased their holdings by 7,130 Bitcoins yesterday alone. , with a total value of US$436 million, the highest single-day level since the end of May.
Analysts pointed out that whales' continued accumulation and increased buying indicates that despite fear, uncertainty and doubt (FUD) in the market, institutional investors and large investors are still taking advantage of the recent price decline to buy more Bitcoin: “With the steady growth of institutional investors’ positions, we have reason to believe that it is only a matter of time before the market picks up.”
Although analysts predict that Bitcoin may be about to rebound, the volatility of the cryptocurrency market cannot be ignored. Historical performance does not guarantee future results. Investors must remain cautious and have a clear entry and exit strategy. Rational investment is the only way to make long-term profits. The essential.
[Disclaimer] There are risks in the market, so investment needs to be cautious. This article does not constitute investment advice, and users should consider whether any opinions, views or conclusions contained in this article are appropriate for their particular circumstances. Invest accordingly and do so at your own risk.
