Bitcoin's profiting barrier returns – Will investors break through before the weekend ends?
Bitcoin Blasts Towards $100K: A Look at Its current Breakout Potential
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BTC Narrowly Misses 350% profit for Long-term Holders, Hinting at Potential Distribution
Bitcoin (BTC) finds itself hovering tantalizingly close to a major psychological point as long-term holder (LTH) returns neared a staggering 350%. This level, historically associated with increased seller pressure, could indicate a potential change of pace for the world’s leading cryptocurrency.
At present, BTC exchanged hands at $96,256.73, down a mere 0.35% in daily trade. As this critical zone looms, the market may encounter heightened selling from seasoned holders, demanding a robust buyer presence to maintain momentum and push through the six-figure barrier.
Will Bitcoin shatter its Ascending Channel at $98K?
BTC continues to adhere to its uptrend channel pattern on the 4-hour chart, highlighting sustained upward momentum. Recently, the $96.3K level has been reclaimed, transforming it into a supportive zone. Meanwhile, the $98K level has emerged as a formidable hurdle, where the bulls may face resistance. However, the pattern also hints at a possible breakout trajectory that could propel BTC toward $100K.
Are Stronger Hands Acquiring as Retail Sheds?
IntoTheBlock’s ownership metrics paint a picture of subtle yet noteworthy changes in participant structure. Retail participation dipped by 0.09%, whereas medium-term holder (MTH) occupation increased by 1.4%, implying moderate accumulation by more resolute investors. Whale Concentration, on the other hand, has remained steady, suggesting consolidation. Hence, BTC appears to be undergoing a redistribution phase, with assets trickling from smaller to more enduring investors.
Is Caution Prevailing in the Derivatives Market?
The Bitcoin derivatives market has shown signs of caution, as indicated by cooled off participants. Futures Volume plunged by 31.03%, while Options Volume slipped by 25.82%. Simultaneously, Open Interest dropped by roughly 2.61%, with Options Open Interest down by a significant 6.31%. Decreased speculative fervor suggests traders are adopting a wait-and-see approach, hoping for a clear breakout above the $98K level before committing more capital.
Do On-chain and Exchange Metrics Bolster a Bullish Bias?
A slew of indicators point towards an encouraging market environment for BTC. Notably, Large Transactions (+0.63%), Address Concentration (+0.89%), and In-The-Money Wallets (+0.76%) demonstrate strength. Exchange indicators such as Bid-Ask Volume Imbalance (+1.37%) and Smart Price Signals (+0.02%) also lean bullish. Although Net Network Growth remains neutral, the broader data suggests a strong buyer position. Thus, the overall alignment of metrics provides additional support for an ongoing bull run.
Can Bulls Conquer the $100K hurdle?
Although LTH profitability nearing 350% may trigger selling, the technical setup, accumulation by MTHs, and favorable metrics stack remain favorable for a sustained upward trend. If buyers successfully maintain the current support at $96.3K and recapture the $98K resistance, BTC may continue its gradual ascent toward $100K. Thus, the market structure supports a prolonged bullish continuation, mirroring the arrow trajectory illustrated in the chart.
Sources: TradingView, IntoTheBlock, CoinGlass.
XRP Faces a Crowded Shelf - Why A rarity in Demand for the Altcoin#### Share
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This article provides an overview of the current trends and potential price breakouts for Bitcoin (BTC) as it approaches the psychological barrier of $100,000. Long-term holder profitability, accumulation by stronger investors, and supportive technical indicators strengthen the case for a bullish continuation. However, distribution pressure at the 350% profit threshold for long-term holders may dampen BTC's advance in the short term.
Sources:
- blockchain.news
- coinpedia.org
- coinrestraint.com
- coingape.com.
- beincrypto.com
1. As Bitcoin (BTC) approaches the $100K barrier, it's interesting to note a decline in retail participation, while medium-term holders (MTH) are accumulating more.2. The crypto market could see a increased rigor from experienced holders as the six-figure mark looms and BTC exchanges hands at $96,256.73.3. XRP, an altcoin, faces a challenge in demand due to the overcrowded market, unlike Bitcoin which shows potential for a breakout.4. The derivatives market for Bitcoin exhibits a level of caution, with decreased volume and open interest, indicating traders are adopting a wait-and-see approach.
