- On the chart, Bitcoin was trading within a bullish accumulation zone, suggesting a potential breakout.
- However, there was a lull in the market, as BTC’s movements appeared to have slowed down.
BTC has barely made a significant move over the weekend, with a current decline of 0.29% and a past-week move of 0.03%.
However, activity during this period suggests the market could be in a preparatory phase for a major upside, as investors accumulate the asset with long-term interest, per AMBCrypto analysis.
Notably, investors appeared to be cautious with their holdings, unwilling to trade more BTC unless the market showed more positive clues.
Source: CryptoQuant
This was evidenced by the Binary CDD (Binary Coin Days Destroyed) metric on CryptoQuant.
The metric assigns a value of 1, when long-term holders sell significantly and 0 when there is little to no activity from these holders.
At press time, the Binary CDD has a reading of 0, indicating that investors are likely holding their assets long-term rather than selling at the current price.
AMBCrypto found that this market activity is reflected on the chart as an accumulation phase with major upside potential.
U.S. investors could push BTC to $99,500
At the time of writing, BTC is trading within an accumulation zone, moving back and forth within a converging support and resistance range known as an ascending channel.
Currently, BTC is trading at the support level of this channel, which historically provides a basis for major rallies. If this level holds and acts as a catalyst, BTC could see a 15% price jump to approximately $99,500.
Source: TradingView
For this to occur, bullish momentum must be sustained and strong enough to break out of the pattern’s resistance line.
If BTC clears this resistance, it will likely trend higher. However, failure to break out would result in continued consolidation within the current range.
As investors await Bitcoin’s next moves with bated breath, the current sentiment could be accurately described as the calm before the storm. Thus, it would be wise to follow the broader market movement.
Still, as always, it is best to DYOR and be prepared for the king coin’s next moves.
