Notable analysts cite various market indicators to support arguments for a major price recovery for Bitcoin after days of consistent pullback.
In the latest market downturn, Bitcoin has dropped by approximately 11%, falling from its early-month high of $71,907 to a low of $64,066 two days ago. During this period, prominent altcoins have slumped more than twice that rate.
Now that Bitcoin has stabilized around the $64,000 range, market observers are increasingly convinced it has reached its bottom for this dip, projecting a significant rebound as the next phase.
Bitcoin Poised for Major Rebound
In a recent post on X, widely followed Bitcoin commentator Michaël van de Poppe expressed confidence that Bitcoin has likely bottomed around $64,000. According to him, Bitcoin is now gathering upward momentum.
Meanwhile, Van de Poppe added that altcoins are starting to show more strength as Bitcoin’s dominance declines, suggesting a significant market reversal is imminent.
Separately, analyst Bitcoinsensus argued that Bitcoin’s chart looks very bullish from an Elliott Wave perspective. The commentator stressed that the market is currently in wave five on multiple time frames, the final phase of an upward impulse wave.
In a subsequent update, the analyst noted that Bitcoin’s illiquid supply has increased since May based on data from analytics platform Glassnode. This trend suggests that investors are holding their assets more rather than trading them.
The #Bitcoin illiquid supply has increased since May, suggesting that people are holding their assets more than trading. 🤔 pic.twitter.com/3uTVM0CpNh
— Bitcoinsensus (@Bitcoinsensus) June 20, 2024
Furthermore, the case for a BTC price recovery is strengthened by the resilience observed in the Bitcoin derivatives markets. Market watcher Ali Martinez recently noted that 70.27% of all Binance accounts with an open Bitcoin position are going long. This ratio has even slightly increased in the latest figures.
Bearish Momentum Still At Large
Notably, analysts have identified Bitcoin miner capitulation among the factors that triggered the latest market dip.
Ki Young Ju, the founder of analytics platform CryptoQuant, highlighted that early Bitcoin miners had profited about $550 million this year by selling BTC within the $62K to $70K price range.
Although this wave of miner selloff is expected to subside soon, the crypto market now faces another potential source of selling pressure that could affect the anticipated Bitcoin rebound.
A few hours ago, Young Ju noted he observed Bitcoin selling pressure emanating from the Coinbase exchange. The observation coincides with reports indicating that the German government has begun sending BTC to exchanges over the past two days, with over $3 billion worth of Bitcoin still to be sold.
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