Bitcoin, after falling to as low as $18,661 last week, registered promising growth as it gained by more than 9% in the last seven days. Its latest uptick sparked excitement in the community as enthusiasts and experts predicted a further surge in BTC’s price in the coming days. Several reports and analyses also seemed to point in the same direction.
Not only Bitcoin’s chart, but several metrics were also in favor of BTC. This gave investors hope for brighter days ahead after a short dip in the price.
At the time of writing, BTC had reclaimed the $21,000-mark and was trading at $21,566.77 with a market capitalization of $412,947,658,745.
Better days to come?
Mignolet, an analyst and author at CryptoQuant, hinted at a similar bull situation, pointing out a good buying opportunity for investors. He mentioned in his analysis,
“If you look at the movement a little bit more specifically, whales didn’t sell a lot of bitcoins in the price decline that began on August 17.”
The taker buy sell ratio spiked recently, which might indicate a possible market bottom, increasing the chances of a bull run shortly.
Source: CryptoQuant
That’s not all either.
Just recently, a popular influencer painted a similar picture of a bull rally. In his tweet, he talked about the Bitcoin halving cycle and mentioned that the last two cycles bottomed at 777 and 889 days after the halving. Currently, he said, the figure is at 850 days, with its recent bottom at 763 days. Looking at the prior record, this is a major bullish signal – Indicating a price hike in the coming days.
What do the metrics suggest
Not only the analysis, but several on-chain metrics also hinted at a price surge. For instance, Bitcoin’s reserve risk ratio hit an all-time low, pointing to a market button and a northbound rally soon.
Also, it opened an opportunity for investors, with the risk-to-reward ratio found to be high too.
Source: Glassnode
Interestingly, BTC’s total number of addresses with non-zero balances also went up after a short decline earlier this month, indicating investors’ trust in the king of cryptos.
Therefore, looking at all the developments, it is safe to say that we can expect Bitcoin to go up. However, a few metrics painted a different picture.
According to CryptoQuant’s data, BTC’s aSORP was red, which indicated that more investors have been selling at a profit – A bearish signal as it suggested a possible market top amidst a bull market. Moreover, BTC’s Relative Strength Index and Stochastic were in neutral positions, underlining that the market could head in any direction.
Source: CryptoQuant
