Bitcoin price movements have been closely monitored throughout the year, and recent trends indicate bullish activity among investors. As Bitcoin experienced a brief rally, surpassing the $100,000 mark, data from Santiment reveals an outflow of 5,407 BTC from exchanges over a month. This marks a record amount of BTC moving out of exchanges.
The beginning of the new year brought positive news for Bitcoin investors. On January 6, Bitcoin closed above $102,000, driven by substantial ETF inflows amounting to $978.6 million. However, the following day witnessed a sharp price drop, leading to anticipation of Bitcoin retesting the $100,000 level.
Despite the short-term decline, key observations within major exchanges hint at bullish momentum. On Binance, netflow metrics, particularly the 14-day simple moving average, have turned negative, suggesting accumulation by investors. This behavior aligns with past bullish trends when netflow was negative, further supporting potential upward movement for Bitcoin.
Furthermore, US retail investors are also observed to be exerting increased buying pressure. The Coinbase premium index, which recently turned positive, points toward a potential bullish trend. Historically, when the index crossed the 14-day moving average, it coincided with significant price increases.
Bitcoin's bullish structure remains intact despite the recent price rollback to below $98,000, as it continues to trade within liquidity pools. Technical analysis shows that Bitcoin price cleared previous highs but encountered a sell-off pressure near the supply zone, leading to the decline. For Bitcoin to sustain its upward trajectory, maintaining support above $97,000 to $98,000 is crucial.
Analyst Michael Van de Poppe highlights the significance of Bitcoin holding at $98,000, suggesting that retaining this level could lead to new all-time highs. The Bitcoin community remains optimistic about further price gains as the market continues to demonstrate resilience amidst fluctuating trends.
