Santiment, a well-known blockchain analytics firm, made a noteworthy tweet regarding the Bitcoin market. Just before Bitcoin surged past the $28,000 mark for the first time in six weeks, there were four substantial transactions with values ranging from $187 million to $346 million. This development has garnered considerable attention in the crypto space.
Moreover, the supply of BTC on exchanges has noticeably decreased, falling from 5.99% to 5.73% since September 1st. Market experts interpret this decline in BTC supply on exchanges as a positive sign, indicating that more investors are choosing to hold their assets rather than actively trade them.
Analyst Insights: Comparing Bitcoin Cycles
However, Bitcoin’s recent price surge has led analysts to offer insights into the current market situation. One notable analyst, JACKIS, took to Twitter and drew parallels between historical Bitcoin cycles, specifically comparing the present scenario to the year 2016 rather than 2019.
JACKIS pointed out key differences between these cycles, highlighting the duration of bear markets and retracement patterns. Notably, the similarity between the current re-accumulation phase and that of 2016 was underscored, particularly with a focus on the 23.6% retracement from the all-time high (ATH).
Furthermore, JACKIS emphasized the importance of retesting the bottom range after each cycle, noting that in 2023, there was a double retest of this level, akin to the behavior observed in previous cycles.
While JACKIS does not anticipate an exact replication of the 2015-2017 cycle, they believe there are undeniable similarities, suggesting that Bitcoin’s price trajectory could see further upside potential, especially after breaking above the re-accumulation range.
Another analyst, Titan of Crypto, also shared valuable insights on Twitter by highlighting the presence of a Bullish Cypher Pattern in the Bitcoin market, indicating a potential reversal and upward price movement. Additionally, Titan of Crypto identifies three Fibonacci retracement levels as possible targets for BTC’s price: $36,000, $48,700, and $69,200.
However, as BTC approaches its initial target, analysts overwhelmingly express optimism regarding its future movements. They suggest that upcoming events and market developments will significantly impact the cryptocurrency’s trajectory.
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