Connect with us
Active Currencies 16047
Market Cap $3,753,080,439,110.30
Bitcoin Share 52.86%
24h Market Cap Change $2.18

Bitcoin will continue its uptrend despite cross pressure – Here’s why

2min Read

Bitcoin is at a critical juncture, where it can move in either direction. However, an upward movement is more likely.

Bitcoin will continue its uptrend despite cross pressure - Here’s why

Share this article

  • BTC is forming a similar technical pattern on the chart to the one seen in 2020, which preceded a market rally.
  • At the same time, multiple liquidity clusters above and below the current price levels place BTC at a crossroads.

Bitcoin [BTC] has seen a gradual recovery after experiencing a 2.54% drop over the past week, a result of a broader market decline. It has since posted a daily gain of 1.48%, attracting renewed attention from investors.

While market conditions are improving, there remains uncertainty about Bitcoin’s next move. This analysis from AMBCrypto sheds light on possible scenarios.

Is BTC following the 2020 pattern?

Insight from analyst, Mister Crypto indicates that BTC is currently mirroring the technical pattern it followed in 2020, which led to a significant rally after the asset broke through the $20,000 resistance level.

According to this pattern, BTC first experiences a rally, then drops to form a bottom, followed by another rally that creates a symmetrical triangle pattern before an explosive upward move.

Currently, BTC appears to be in the midst of this sequence. After a rally, it has now retraced and forming a bottom—perfectly aligning with the previous cycle.

If this pattern continues, it could signal that BTC will eventually break through the $100,000 resistance level.

Source: X

BTC faces two-way pressure amid liquidity clusters

According to Hyblock Capital, Bitcoin is currently under significant pressure, with liquidity clusters both above and below its current price, creating a scenario where the asset could move in either direction.

Above, the liquidity cluster is between $99,700 and $102,300, while below, it spans from $88,100 to $89,300.

Liquidity clusters often act as price magnets, drawing the market toward these levels to clear out orders before continuing its trend.

Source: X

AMBCrypto’s analysis suggests that BTC is more likely to break upward, clearing the cluster above, rather than decline. This view is supported by the funding rate and long-to-short ratio.

The Funding Rate, which tracks the balance between long (buyers) and short (sellers) positions, has increased, signaling that buyers are gaining control. At 0.0206%, this suggests continued upward momentum.

Additionally, the long-to-short ratio shows more long positions than short positions, with a reading of 1.0090, reinforcing the bullish sentiment.

Bullish confluence builds for BTC

Bitcoin is at a similar adoption stage to the internet in 1999, according to the Bitcoin Adoption S Curve.


Read Bitcoin’s [BTC] Price Prediction 2024–2025


This indicates that the market has yet to fully embrace Bitcoin, and as adoption continues to grow, the likelihood of further price appreciation increases, along with greater liquidity flowing into the asset.

Source: X

Together, these indicators suggest that BTC is more likely to trend upward rather than experience a sharp decline.

Share

After losing his DOGE tokens due to a limited understanding of blockchain technology, Dolapo vowed to understand and explore its vast potential. Now, as a dedicated writer, he helps others learn the complexities of blockchain. At AMBCrypto, Dolapo uses his skills in technical analysis and on-chain tools to highlight emerging opportunities in the space.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.