Bitcoin (BTC) price is ‘ready to rally’ again, as BTC’s price action looks bullish on crucial timeframes, says trading platform Decentrader.
In its last market update, on October 29, the firm predicted further rallies for the price of Bitcoin, which has remained below old all-time highs this week.
Potential of $ 150,000 at the end of the year
Despite the price consolidation of the BTC / USD pair that keeps the markets guessing, analysts are confident about the odds of earnings coming in the short term.
While the area around the two highs this year – $ 63,900 and $ 67,100 – is the main focus of discussion, the reality could, in fact, be in price discovery territory close to $ 100,000.
“From a technical, market cycle and on-chain point of view, we continue to believe that the next major difficulty zone for $ BTC will not come until we approach $ 85,000 – $ 90,000“, the update predicts.
This is due in part to a moving average crossover event involving the 128-day and 200-day trends, which has historically caused a “sustained” rise.
In the present, the three-day chart of Bitcoin price, which Decentrader considers to be a particularly accurate pricing tool, is now bullish, contradicting the current bearish daily and neutral weekly setup.
This is an ingredient that fuels a likely channel for price action that could see Bitcoin hit $ 150,000 in early 2022.
The status quo with the global Bitcoin offering should help the cause: Exchange reserves continue to fall, indicating a resolve to hold, rather than sell, among traders.
“The evidence continues to suggest that existing market participants remain optimistic. One piece of information that supports this is the ongoing drain of Bitcoin from exchanges as users choose to place their Bitcoin in offline storage. The net impact of this is that short-term supply is reduced, “the Bitcoin update concludes.
“Until this trend changes, it will continue to push the price up as the demand for Bitcoin has to accept higher prices among the limited supply available.”
ARK investigates bull market progress
Asset manager ARK Invest also looks at the state of Bitcoin at the end of the “Uptober”.
In the latest installment of its dedicated guides released this week, the iconic bearish firm made a counting the metrics to gauge how much overall bullish margin the BTC / USD pair has left.
Most indicate, as Cointelegraph reported, that the bullish rally is far from over, despite the fact that some indicate a territory that has historically marked a cycle stop.
“In our opinion, the value of bitcoin is a function of its economic utility, while the price of bitcoin is a function of its supply and demand. In the short and medium term, we believe that investors should be able to assess the behavior of bitcoin buyers and sellers and use relative value metrics to actively manage bitcoin positions“reads the comment that accompanies the note.
Keep reading: