As Bitcoin, the leader of cryptocurrencies, climbed above the $46,000 mark following ETF expectations, the anticipation for even larger increases continued to rise in the near future. Prior to the potential rise associated with the ETF, major investors did not miss this opportunity and went on to stockpile BTC as the price dipped. Amid these developments, it was observed that some of Bitcoin’s fundamental indicators reached critical levels that could likely impact its price.
Current State of Bitcoin Investors
In the last few days, BTC bulls have taken their transactions to a new dimension as the cryptocurrency surpassed $46,000.
According to data provided by CoinMarketCap, there was an increase of over 2% in the BTC price in the last 7 days. At the time of writing, BTC had a market value of over $901 billion and was trading just below $46,000 at $45,980.
Despite the price movement yesterday, most investors were still in profit and BTC investors were enjoying this situation. According to data provided by IntoTheBlock, 90% of BTC investors were still appearing to be in profit.
Before the rise in BTC’s price, major investors took advantage of the downturn and managed to add more BTC to their wallets.
According to a tweet shared by IntoTheBlock, Bitcoin owners who hold more than 1% of the supply purchased over 14,000 BTC last week and filled their wallets. These coins were bought when prices had retreated below the $43,000 level.
To check if the buying pressure was still high, AMBCrypto looked at data from Santiment and CryptoQuant. Our analysis revealed an increase in BTC’s foreign exchange reserves, which clearly meant that investors were selling BTC.
In fact, the gap between the supply of BTC on exchanges and the supply outside of exchanges was narrowing, indicating an increase in selling pressure on Bitcoin.
Is Bitcoin About to Start Another Bull Run?
While all this was happening, according to analysts, there were significant developments in some of Bitcoin’s fundamental metrics. A BTC chart recently shared by Blockchain Backer revealed Fibonacci Retracement Levels.
According to the tweet shared by the analyst, Bitcoin’s market value rose to the 0.618 Fibonacci retracement level. The last time this metric reached this level in 2021, it initiated a price movement that led BTC to its all-time high (ATH) level. However, this time the scenario seems a bit different as BTC’s daily chart has turned red, which could mean that things might unfold differently.
This negative outlook in 2024 could be associated with the FUD surrounding the fake news about the ETF that occurred yesterday.
