What it means for the market

Bitcoin (BTC) has been struggling below $100,000 despite a modest 2% gain over the past day.

However, a popular trading metric used to measure buyer interest in Binance suggests that the cryptocurrency could revisit this crucial price level before the end of the year.

Strengthen buying pressure on Binance

Over the past 60 days, Binance’s Bitcoin Taker buying volume has reached $8.3 billion and formed three higher lows, indicating strengthening buying pressure. This metric, which measures the total volume of buy transactions executed by market participants at current order book prices, reflects growing investor interest in Bitcoin.

According to CryptoQuant analysis, the increase in Taker buying volume on Binance has been consistent despite occasional market corrections.

This increasing buying pressure often correlates with possible price increases, as it indicates that buyers are actively consuming available liquidity at market prices. Although the market may seem overheated, the persistence of this trend points to a possible upward movement in prices in the near term.

Meanwhile, Bitcoin reserves on Binance have hit their lowest levels since early 2024, following a decline that began in August. This mirrors the January low, which preceded a 90% increase in the price of BTC. Coupled with a 40,000 BTC drop in OTC inventories since November, this trend could indicate increased demand and investor confidence ahead of a much-anticipated bullish reversal.

Bitcoin’s next move

Bitcoin has remained below the $100,000 mark since December 19, following its initial advance on December 5. With its current value around $96,000, the crypto asset is down more than 12% from its all-time high of $108,300 reached on December 17. However, several experts predict a bullish breakout.

The “xoom” moniker, for example, recently highlighted a bullish candle with increasing volume, indicating a potential price target of $110,000-$130,000 by the end of January, with $120,000 as a realistic target. Despite potential near-term volatility, the trend suggests that BTC could rise to $135,000 or higher in the coming months.

Another crypto analyst with the pseudonym “Titan of Crypto” said that Bitcoin’s current price action appears to be similar to the late 2023 correction fractal. Interestingly, the 2024 moves are roughly three weeks ahead of the timeline While the analyst does not guarantee that the same scenario will play out, the similarities highlight potential bullish momentum as the cryptocurrency may replicate its previous trajectory and reach new highs if the pattern persists.

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