Bitcoin has faced a turbulent week, with price swings ranging from a local high of $69,500 to a low of $65,000, cooling off after weeks of bullish excitement. Now, BTC is consolidating just below the crucial $70,000 level, a price point seen as a key threshold for the next major move. Despite the price cooling, […]
Here’s what the historical pattern of an on-chain indicator suggests regarding whether the time to accumulate Bitcoin is over or not. Bitcoin 150-Day MA aSOPR Currently Has A Value Of 1.01 As pointed out by an analyst in a CryptoQuant Quicktake post, the 150-day moving average (MA) of the Bitcoin aSOPR has a value of just 1.01 right now. The “Adjusted Spent Output Profit Ratio” (aSOPR) here refers to an indicator that basically tells us about whether the BTC investors are selling their coins at a profit or loss. This metric works by going through the on-chain history of all tokens being sold/transferred to see what price they were transacted at prior to this. When this price for any coin is less than the current price at which they are now being sold, then that particular token’s sale could be assumed to be leading to profit realization. Related Reading: Analytics Firm Reveals Why Dogecoin & Apecoin Hit Tops Similarly, coins of the opposite type could be considered to be adding to the loss realization. The aSOPR combines such profits and losses being realized across the network, and calculates their ratio. The “adjusted” in this metric’s name comes from the fact that it filters out transactions of coins that were moved inside an hour of their last transaction. Transfers like these are generally of no consequence to the wider market, so it makes sense to take them out of the data. Now, here is a chart that shows the trend in the 150-day MA of the Bitcoin aSOPR over the last few years: As displayed in the above graph, the 150-day MA Bitcoin aSOPR has consistently remained above the 1 mark this year, which implies the investors as a whole have been realizing more profits than losses. Earlier in the year, the indicator had grown to a high of 1.04 as the investors had taken the profits of the rally. As the consolidation of the cryptocurrency has dragged on, though, the metric has declined, with its value now sitting at 1.01. In the chart, the quant has highlighted two zones that have historically been significant for the aSOPR. The first is the region under 0.98, where bottoms have historically occurred. At levels this low, the investors are participating in notable loss realization. Resolute hands pick up the coins from these capitulators, thus helping the price reach a point of turnaround. Related Reading: Bitcoin Profitability Index Hits 202%: Is This Enough For A Top? The other zone is the one above 1.08, where tops have formed in the past as a result of the aggressive profit-taking from the whales. So far, the current cycle hasn’t seen the Bitcoin aSOPR visit this territory. “Based on previous trends, accumulating Bitcoin until aSOPR reaches 1.04 could be a solid strategy for long-term gains,” says the analyst. “Timing the market by observing whale behavior may prove fruitful.” BTC Price Bitcoin had plunged to the $65,000 level yesterday, but the coin has already made recovery as its price is now floating around $67,100. Featured image from Dall-E, CryptoQuant.com, chart from TradingView.com
Bitcoin nearly reached $69,000 yesterday, setting a new local high and further solidifying the ongoing uptrend that began in September. This price action has fueled optimism among analysts and investors, who now anticipate significant gains in the coming weeks. Investors believe Bitcoin is ready for a strong rally after seven months of sideways accumulation. Critical data from Santiment reveals that the number of Bitcoin whales—large holders of BTC—grew substantially just as the price bottomed out around $59,000 on October 10th. Related Reading: Solana Targets $160 Resistance As TVL Hits New Yearly Highs This increase in whale activity is often seen as a sign of “smart money” positioning for a major move. Large investors accumulating BTC during a low suggests that they are preparing for something big in the coming weeks. As excitement builds, market participants watch closely for further signals that Bitcoin could be headed for new all-time highs. With momentum on its side, Bitcoin appears ready to lead the market into the next phase of this cycle. Bitcoin Whale Activity Supports Bullish Outlook Bitcoin is trading near the historically reactive price level of $70,000. A critical zone that has consistently acted as resistance, pushing the price down five times over the past seven months. Each time Bitcoin approached this level, it triggered sell-offs or corrections, leading to caution among traders and investors. However, recent data from Santiment reveals that this resistance may be weakening due to increasing whale activity. Between October 10th and 13th, a net rise of +268 wallets holding between 100 to 1,000 BTC, signaling that large players are accumulating Bitcoin as the price rallies. Analysts often see an increase in whale wallets as a strong bullish indicator, suggesting that influential investors are positioning themselves for potential upside in the coming months. The timing of this accumulation is crucial, as it coincides with Bitcoin’s upward momentum, signaling that these big players expect further gains. As more large holders continue to enter the market, the window to buy Bitcoin at a favorable price narrows. Related Reading: Cardano Bullish Pattern Suggests A Breakout – Can ADA Reach $0.54? This accumulation suggests that whales are betting on a sustained bull run, potentially weakening the $70,000 resistance level and allowing Bitcoin to push higher. With Bitcoin trading near this critical price zone, the next few weeks could be decisive, either breaking through $70,000 or facing another correction. BTC Testing Supply Levels Bitcoin is trading at $68,383 after several days of consistent highs, steadily pushing toward new supply levels. The price recently halted at $68,998 and now appears primed for a challenge to new all-time highs. This surge has created a wave of optimism, but analysts caution that a healthy retrace may be on the horizon. The 200-day moving average (MA), currently sitting at $63,322, is a key level to watch. If Bitcoin retraces to this support zone, it could signal strength for a renewed push higher, as this level has historically acted as a strong support during uptrends. Holding above the 200-day MA is crucial for maintaining bullish momentum. Related Reading: Strong Buy Signal For DogWifHat (WIF) – Key Indicator Hints At Rally To $4 If Bitcoin fails to break above the $70,000 resistance in the coming week, a retrace to lower demand is expected. This pullback would allow the market to regain liquidity and reset for a potential new rally. Investors are closely watching as the price action in the next few days will determine Bitcoin’s long-term outlook. Featured image from Dall-E, chart from TradingView
Bitcoin is at a pivotal moment after surging past the $68,000 mark and setting a new local high, confirming its bullish uptrend. Analysts and investors closely monitor the next steps, searching for signs of a continued rally or a potential retrace from higher supply levels. While the excitement is palpable, there is caution as traders prepare for possible resistance. Related Reading: Strong Buy Signal For DogWifHat (WIF) – Key Indicator Hints At Rally To $4 Top analyst Daan shared a technical analysis highlighting that Bitcoin has broken out of an accumulation channel, suppressing the price. According to Daan, this breakout above the $68,000 resistance level signals a potential for further upside as Bitcoin moves into uncharted territory. The next few days will determine whether BTC can maintain its momentum or will face a healthy pullback from these higher levels. With euphoria clashing with fear of a correction, investors are keen to see whether Bitcoin can continue its upward trajectory or if the market will see a pause in the rally. Bitcoin Break Out: New ATH Next? The crypto market is optimistic, as Bitcoin and most altcoins have surged from yearly lows to yearly highs in just a few weeks. Analysts are now speculating that this could be the start of something big—a rally that could propel prices to new highs and deliver massive gains to investors. Despite the excitement, there is also a lingering fear of an impending correction. Historically, Bitcoin has struggled to maintain momentum above supply near $70,000, often facing strong rejections that lead to sharp declines. However, top crypto analyst and investor Daan recently shared a technical analysis on X, explaining why this recent breakout might differ. According to Daan, Bitcoin has finally broken out of a 7-month accumulation pattern that had kept prices down, signaling a significant shift in market dynamics. Furthermore, BTC has managed to break well above the Daily 200 moving average (MA) and exponential moving average (EMA), key technical indicators that had previously caused resistance since the summer. Related Reading: Cardano Bullish Pattern Suggests A Breakout – Can ADA Reach $0.54? With the short-to-mid timeframe trend firmly up, Daan believes this bullish outlook may suggest that Bitcoin could avoid another rejection near $70,000. Instead, BTC might be gearing up for a powerful surge, with investors eyeing new all-time highs in the coming weeks. BTC Technical Analysis Since Monday, Bitcoin has tested a crucial supply zone following a strong 9% surge. The price is trading well above the Daily 200 moving average (MA) and exponential moving average (EMA), signaling strength and maintaining bullish momentum with no immediate signs of a retrace. This indicates buyers remain in control for now, with a potential push to break above the psychological $70,000 level. However, there’s still a risk that Bitcoin could fail to break and hold the $70,000 mark, which is critical for bulls to maintain upward momentum. A rejection at this level could signal a shift in market sentiment, potentially leading to profit-taking and consolidation. Historically, such moments of euphoria in the market often end with a discouraging move that cools down excitement, and a healthy retrace is possible. Related Reading: Bitcoin ETFs See $1.6B Inflows This Week – Is BTC Reaching A New ATH Soon? Should BTC experience a pullback, it’s likely to find strong support at the daily 200 MA around $63,304. This level has acted as a key indicator of support in previous uptrends. It could provide a solid foundation for the next leg up if the price corrects before resuming its bullish trajectory. Featured image from Dall-E, chart from TradingView
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