Amid the massive boost Bitcoin (BTC) price has seen in recent times, top market analyst Ali Martinez has named crucial support and resistance zones to watch.
According to Martinez’s inference from the Bitcoin UTXO Realized Price Distribution (URPD) model, the $37,000 price level is a significant support zone to keep note of. As a complimentary note, the analyst highlighted the $47,360 price mark as a key resistance wall to watch.
— Ali (@ali_charts) December 4, 2023
Bitcoin has been on a tear recently, crossing the $42,000 price mark briefly to set a new high for the year. At the moment, Bitcoin’s price has retraced to $41,651.72 but still maintains a 5.3% growth rate over the last 24 hours.
The trading volume also gives insight into how more of the market has aped into Bitcoin, as over $33.75 billion worth of BTC has changed hands on exchanges in the past 24 hours.
Bitcoin (BTC) Price and Whale Effect
One crucial trend spotted by market analyst and CryptoQuant CEO Ki Young Ju is the pattern exhibited by Bitcoin whales before this ongoing bull run.
Ki Young Ju said whale traders acted as though they saw the future and “opened giga long positions at $29,000.”
While some critics might want to shrug off this move from Bitcoin whales, the top analyst pointed out that these whales have maintained their bullish actions and have been in risk-on mode since the price of Bitcoin traded at $16,000.
1/ Whale traders opened giga long positions at $29k.https://t.co/yrMLl9vhKW
— Ki Young Ju (@ki_young_ju) December 4, 2023
Data from “Coinbase and CME Price Premium” metric proves that the demand is rising from the US. To complement this, he insinuated how early the market is, seeing retail investors are yet to fully join the party.
Young also pointed out the growth in mining difficulty as a result of investment in mining rigs from Bitcoin miners.
With the investment and higher hashrate, he predicted the cost of mining BTC may increase to $36,000, a point that forms a minimum viable price for each BTC ahead of the coming halving event.
Bitcoin Spot ETF Factor
While not pronounced or mentioned by the two analysts, the impact of a potential Bitcoin spot ETF accounts for a significant part of the current growth the coin has charted thus far this quarter.
BlackRock, Fidelity Investments, Grayscale Investments, and Ark Invest among others are anticipating feedback from the US SEC on their spot Bitcoin ETF application. Bloomberg analysts have maintained their 90% approval odds with a new window to expect the regulator’s feedback between Jan 5 and Jan 10.