As the Bitcoin (BTC) halving approaches, expectations for the flagship cryptocurrency's performance are rising. Bitcoin (BTC) is bouncing back after suffering a significant correction in the first days of the second quarter, with some analysts predicting new highs soon for the number one cryptocurrency.
Are the odds more in favor of the bulls or bears?
Bitcoin had its best quarterly close in the first quarter of 2024. Despite BTC's stellar performance, the market was affected by the leading cryptocurrency's price correction at the start of the second quarter.
Since then, Bitcoin has steadily recovered and tested the $70,000 resistance level over the weekend. Earlier in the week, BTC appeared to have regained support above the $70,000 level.
Crypto analyst Ali Martinez seems to believe Bitcoin's past performance reflects positive investor sentiment. In an X post, Martinez shared a chart that paints an optimistic picture, at least for now.
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When you compare support (1.4 million addresses with 893,000 $BTC between $68,220 and $70,325) to resistance (474,000 addresses with 285,000 #BTC between $70,760 and $71,200), the odds are in favor of the #Bitcoin bulls! pic.twitter.com/pceCyGa8mb
— Ali (@ali_charts) April 9, 2024
According to Martinez's post, the In/Out of the Money Around Price (IOMAP) indicator appears to be favorable for the bulls. According to the chart, addresses holding BTC at the support level are significantly more numerous than those holding Bitcoin at the resistance level.
The chart suggests Bitcoin is at “stable support” as 474,000 addresses hold 285,000 BTC between $70,760 and $71,200. 1.4 million addresses now hold the flagship cryptocurrency between $68,220 and $70,325.
In comparison, the addresses and BTC held at the support level are almost three times higher than those in the resistance zone. For the analyst, the bulls are the current winners because “the odds seem to be in their favor.”
Analysts predict that Bitcoin will soon reach 90,000
Captain Faibik, another crypto analyst, also seems to sense stronger bullish momentum for Bitcoin. In a post by
According to the chart, the price of the flagship cryptocurrency began a consolidation phase in early March and formed a pennant pattern. This pattern saw an upward breakout after Monday's daily candle closed above the $70,000 price range.
Due to this breakout, the analyst predicts a rise to the $88,000-$90,000 price range this month.
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The upward breakout of $BTC's bullish pennant is confirmed on the daily timeframe chart. ✅
Now send Bitcoin to the 88-90k mark this month. 📈🚀#Crypto #BTC #Bitcoin pic.twitter.com/ok2DGPXsAb
– Captain Faibik (@CryptoFaibik) April 9, 2024
At the time of writing, Bitcoin remains above the $70,000 support level, just 5% below its recent all-time high (ATH) of $73,373. Despite the positive resistance, BTC price action shows a slight decline of 2.3% compared to yesterday.
Daily trading volume and market capitalization have also decreased slightly. According to data from CoinMarketCap, BTC's daily trading volume is down 6%, while its market cap of $1.38 trillion represents a 2.1% decline.
Still, Bitcoin remains 8.4% above its price seven days ago, trading at $70,378. Further bullish sentiment, fueled by the upcoming “halving” event, could help the largest cryptocurrency by market capitalization solidify its support above current levels.
Bitcoin is above the $70,000 support level on the 1-day chart. Source: BTCUSDT on Tradingview
Featured image from Unsplash.com, chart from TradingView.com
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