Bitcoin’s active addresses surged by 11% over the last 7 days, reflecting growing interest in the crypto-asset. Such a hike is a crucial indicator of market activity, hinting at heightened transactional demand from both retail and institutional investors. Its price action on the charts revealed a double-bottom pattern forming strong support near $95,000, while the resistance at $109,200 remained a key hurdle.
If BTC can breach this resistance, it may pave the way for a major breakout. However, failure to maintain upward momentum could trigger a retest of lower levels, presenting a critical juncture for traders to monitor closely. Historically, such elevated whale activity is often seen as a precursor to large-scale buying or selling. In fact, this often precedes major price movements on the charts too.
Over the last 96 hours, more than 20,000 BTC, worth over $2 billion, have been withdrawn from exchanges. This trend indicated that investors have been moving their holdings to private wallets – A sign of long-term bullish sentiment.
Additionally, this bullish sentiment complemented the broader narrative of increasing interest in BTC, further solidifying the possibility of upward momentum in the short term. While risks of a pullback remain, data strongly supported a bullish case for the cryptocurrency as it reaches a new historic high ahead US president's inauguration.
As of now, at the time of writing this article, BTC is being traded around $108,300 and has seen a huge jump of 3.6% in its price in last 24 hours and over 18.91% in the last seven days. Also, its market capitalization just hit a new high at $2.15 Trillion.