- As accumulation increased, the price of BTC rose towards $70,000.
- However, some figures and market indicators pointed to a price correction.
Bitcoin [BTC] The price has regained bullish momentum as it quickly approached $70,000. The latest data suggested that investors have started stockpiling BTC.
Does this mean they expect the price of BTC to rise further, or will BTC fall victim to another price correction?
Bitcoin investors are piling in
CoinMarketCaps facts revealed that the price of BTC rose by over 3% last week. The bullish trend continued over the past 24 hours as the king of crypto witnessed an increase of over 3%.
Thanks to that, at the time of writing, BTC was trading at $69,535.15 with a market cap of over $1.37 trillion.
AMBCrypto reported rather that it was a good option for HODL Bitcoin, as a few key indicators pointed to a buying opportunity.
IIn the meantime, Ali, a popular crypto analyst, posted tweet reveals yet another interesting development. According to the tweet, BTC’s accumulation trend score was 1, indicating that investors were purchasing significant amounts of BTC.
To start, the accumulation trend score is an indicator that reflects the relative size of entities actively accumulating coins on-chain in terms of their BTC holdings.
A number closer to 1 indicates that buying pressure was high.
Source:
Will the royal coin continue to grow?
With buying sentiment dominant in the market, AMBCrypto planned to take a closer look at the state of BTC to find out if the latest bull rally would continue.
According to our analysis of CryptoQuant data, BTC binary CDD was green, meaning that the movement of long-term holders over the past seven days was lower than the average. They have a motive to hold on to their coins.
However, the aSORP turned red, suggesting more investors were selling at a profit. In the middle of a bull market, this could indicate a market top.
Source: CryptoQuant
Moreover, we have determined that a significant portion of BTC will be liquidated if BTC reaches $70,000. When liquidation increases, it indicates that there are chances of a price correction.
Therefore, BTC could witness a price correction near $70,000. If that happens, BTC could fall again to $66,000.
Source: Hyblock Capital
Read Bitcoins [BTC] Price prediction 2024-25
Some technical indicators also pointed to a similar price correction. For example, the MACD showed the chances of a bearish crossover.
The Relative Strength Index (RSI) was about to enter overbought territory. This could result in a rise in selling pressure, which could in turn put an end to Bitcoin’s bull rally.
Source: TradingView