Coinspeaker
Institutional Demand and Technicals Remain Bullish for Bitcoin Despite Strong Price Resistance
The cryptocurrency market has been a battleground of bulls and bears. Bitcoin (BTC) has faced a series of short-term volatility events, forming various highs and lows as it struggles to reclaim its previous all-time high.
Bitcoin’s price broke above $70,000 again two days ago, prompting many analysts to jump into predictions. The prevailing one being that the coin was going to break into an all-time high (ATH) in no time. Since then, BTC has been consolidating, trading sideways within the range of $69,000 to $71,000 and closing at $70,000 and around $69,400 on Tuesday and Wednesday, respectively.
Ali Charts, a prominent onchain analyst, shed light on the coin’s price struggle to regain its new all-time high and explained that there are crucial resistance levels at $70,180 and $70,600. These price points are levels where there are a lot of selling orders from BTC bears. According to his on-chain analytics, 292,000 and 397,000 addresses are creating strong resistance at those prices, respectively. He continued by saying that if the bulls can successfully break above those resistances, there is a significant barrier again on their way to another ATH.
The most significant resistance barrier ahead of #Bitcoin is between $70,180 and $70,600, where 292,000 addresses 397,000 $BTC.
If #BTC can break past this barrier, it will likely march toward new all-time highs. pic.twitter.com/f9gdq4h1Gy
— Ali (@ali_charts) March 27, 2024
Technical Analysis Unveils Bullish Potential
Ali, in a different post, further revealed that the coin appears to be breaking out of a bull flag pattern on the 4-hour chart. If BTC can maintain its position above the $70,000 level, the analyst anticipates a surge of nearly 10%, propelling BTC to an all-time high of $77,000.
Echoing this optimism is another notable crypto analyst, Benjamin Cowen, founder of ITC Crypto, who opined that the BTC dominance train is about to leave its station, further fueling the confidence of the bulls and creating a favorable market environment for Bitcoin and potentially for other cryptocurrencies as well.
Institutional Influx Fuels Bullish Sentiment
Fueling the bullish sentiment is the substantial inflow of capital into the crypto market over the past 24 hours. Major institutional investors, such as BlackRock and ARK 21Shares, have invested $323 million and $200 million, respectively, signaling their confidence in BTC Exchange-Traded Funds (ETFs). This active buying aligns with Bitcoin’s positive price movement and could potentially shift market dynamics.
Corroborating the increasing demand, Ali revealed that whales (large investors) have accumulated more than 100,000 BTC, worth approximately $7 billion, over the past seven days. The substantial accumulation by institutional and high-net-worth individuals further showcases the growing interest in BTC as a viable investment asset.
#Bitcoin whales have purchased more than 100,000 $BTC over the past week, worth $7 billion! pic.twitter.com/2LBDgZ17Xa
— Ali (@ali_charts) March 27, 2024
Judging from analysts predictions about a bullish rally and significant whale accumulation, this indicates a potential upward trend. The resistances that are stopping the price from going upward seem to be very temporary. In no time, we should see the price hit an all-time high, which could also affect market sentiment towards altcoins and drive them bullish.
Institutional Demand and Technicals Remain Bullish for Bitcoin Despite Strong Price Resistance
