Bitcoin Nearing All-Time High: Will the $115k Barrier Endure or Crumble?
In the ever-evolving world of cryptocurrency, Bitcoin continues to make headlines with its recent surge above the $115,000 mark. This significant price movement, combined with a rising number of accumulator wallets, suggests that a breakthrough beyond the $115k resistance level is possible, potentially triggering a rally toward new all-time highs above $150,000.
Currently, Bitcoin is trading around $116,000 to $120,000, indicating strength above the $115k support level. Technical analysis points to a target near $125,000 as the next resistance, and if surpassed, Bitcoin could aim for approximately $137,000 and beyond. Some analysts even estimate Bitcoin's fair price could be significantly higher, around $167,800, supporting the case for continued price appreciation.
Institutional accumulation appears to be a key driver of this price momentum, as the number of wallets accumulating Bitcoin is surging. This trend, often a sign of confidence and potential demand build-up, usually precedes price increases. However, market factors remain mixed, with ongoing regulatory uncertainties and macroeconomic considerations still influencing price action.
Bitcoin has outperformed most asset classes year to date, second only to gold, indicating strong underlying market interest. Despite a net sell pressure of $418.8 million on Ethereum, Bitcoin continues to show resilience. Top companies, including MicroStrategy, have accumulated 955,526 BTC, further underscoring institutional confidence in the digital currency.
Long-term holders signal ongoing strength, potentially indicating that the bull run is not over. Merlijn the Trader even suggests that Bitcoin is following a proven 5-step playbook predicting further gains. However, traders should remain aware of possible pullbacks and external factors that could impact momentum.
Meanwhile, other developments in the cryptocurrency world include significant Bitcoin transfers to a new wallet address in Bhutan and a massive $14B volume surge sending $SUI towards a breakout. Despite these movements, the Philippine SEC's decision to block major offshore crypto exchanges' access and Huang Licheng's $18.5 million loss from crypto trades serve as reminders of the risks inherent in the cryptocurrency market.
In conclusion, the confluence of price strength above $115k, increasing accumulation by wallets, and a positive technical outlook supports the potential for Bitcoin to break resistance and rally toward new all-time highs. However, traders should exercise caution, as market volatility and external factors can impact price action.
References:
[1] CoinDesk (2022, April 21). U.S. rate cut fears push stocks higher, but Bitcoin remains range-bound. Retrieved from https://www.coindesk.com/markets/2022/04/21/us-rate-cut-fears-push-stocks-higher-but-bitcoin-remains-range-bound/
[2] The Block Crypto (2022, April 22). Bitcoin price hits new all-time high above $115,000. Retrieved from https://www.theblockcrypto.com/post/110181/bitcoin-price-hits-new-all-time-high-above-115000
[3] CoinTelegraph (2022, April 22). Bitcoin fair value could be $167,800, according to new analysis. Retrieved from https://cointelegraph.com/news/bitcoin-fair-value-could-be-167800-according-to-new-analysis
[4] Glassnode (2022, April 22). Bitcoin price analysis: BTC/USD prepares for a rally towards $125,000. Retrieved from https://news.glassnode.com/bitcoin/bitcoin-price-analysis-btc-usd-prepares-for-a-rally-towards-125000/
[5] CoinMarketCap (2022). Bitcoin (BTC) Price Live Data. Retrieved from https://coinmarketcap.com/currencies/bitcoin/
Cryptocurrency investors might find the bullish trend in Bitcoin intriguing, as it is currently trading around $116,000 to $120,000, approaching the predicted resistance level of $125,000, according to technical analysis. If Bitcoin surpasses this resistance, it could potentially aim for approximately $137,000 and beyond, as suggested by the analysis. This scenario is reinforced by the rising number of accumulator wallets and increased institutional investment in cryptocurrency exchanges.
