Crypto analysts have revealed that large Bitcoin holders are increasing their holdings of the cryptocurrency, as they believe that its price will not reach new highs for several weeks. According to Rekt Capital, a pseudonymous crypto trader, Bitcoin is expected to spend more time hovering above the lower boundary of its price range before gradually moving upward to revisit the range high. This comes as the daily downtrend of Bitcoin’s price, which has seen it decline on a day-to-day basis, was broken on May 15 when it closed at $65,854, up 6.9% from the previous day’s close.
Rekt Capital further stated that Bitcoin has rebounded from the lower boundary of the reaccumulation range, but surpassing its all-time high of $73,797 from March 14 could still take several weeks. Despite this, traders remain optimistic about a potential major price spike if the current pattern continues. Another pseudonymous crypto trader, Mister Crypto, declared in a May 15 post that the breakout of the Bitcoin bull flag will be significant.
Crypto analysis firm CryptoQuant also noted that Bitcoin whale demand is in “acceleration mode” following a two-month downtrend. In a May 15 report, they stated that Bitcoin demand growth appears to be stabilizing after a decelerating trend since March. However, they emphasized that demand would need to accelerate further to sustain the ongoing price rally. Additionally, they pointed out that there are low Bitcoin balances across over-the-counter (OTC) trading desks, indicating strong demand that exceeds the available supply.
It should be noted that this article does not provide investment advice or recommendations and readers should conduct their own research before making any decisions.