Bitcoin (BTC) price has climbed back to the $99,000 price level and is giving hope to traders and institutional investors alike.
The flagship of digital assets saw a sharp increase, hitting $101,951 (+4.03% within 24 hours). This movement has made it push its market capitalization to $2.01 trillion showing improved dominance in the crypto king.
This surge happens at a time when Bitcoin ETF demand is increasing and digestion of the cryptocurrency is becoming more popular once again. Its Fully Diluted Valuation (FDV) shoots above $2.13 trillion.
Trading volumes have also skyrocketed, with Bitcoin’s 24-hour trading volume jumping 131.49%, to $45.58 billion. With this substantial activity, it’s clear that interest in the cryptocurrency is increasing and investors are positioning themselves ahead of what many expect will be a historic bull run.
Whale Activity Drives Market Sentiment
History shows that whenever their accumulation activity indicator was reading green, it has been a bullish signal for the cryptocurrency market, as also seen today. On-chain data shows two new wallets withdrew a total of 261 BTC (around $25.9 Million) emergency from Binance.
Such withdrawals often are interpreted as another sign of confidence in the value of Bitcoin. In this case, an indication that Bitcoin owners withdraw those holdings to private wallets but do not remain in exchanges.
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Kulr Technology, a major institutional player, also made a noteworthy transaction today. Coinbase Prime sent 213.4 BTC (or approximately $21.09 million) to the company, a signal that institutions are investing some interest in Bitcoin potential.
According to the website, Kulr Technology now has a total of 430.6 BTC which is worth $42.71 million. The movements suggest that institutional players are making Bitcoin a store of value and an inflation hedge.
BTC Price Technical Analysis: Key Levels to Watch
The return of bullish sentiment has been stoked with technicals indicating a strong upward trend in BTC price as it surged past $99,000. The 4 hr trading chart shows that Bitcoin’s market is entering into a strong ascending price channel for Bitcoin. Earlier today it briefly climbed above $102,208 and fell back slightly to $101,268 at the time of writing.
Those red zones on the chart represent huge areas of resistance, especially in the $102,000 mark. To validate its rally, Bitcoin needs to break up this critical level. In the short term, BTC price charts show that it could easily take out the $105,000-$110,000 area, once they break definitively above $102,000, analysts believe.
Right now the Average Directional Index (ADX), a watch for trend strength, is 34.45. The value of this tells us that the upward cadence is strong enough to continue to rise in price. Moreover, Bitcoin’s volume-to-market cap ratio of 2.25% indicates healthy volume trading too making things even more bullish.
