BTC’s recent recovery from $54000 shows nearly 25% growth, where the price exchanged hands at $66649.
Moreover, the investor’s address holding the asset from lower prices now sits in the money. Many have missed it, which they might regret, but indeed, BTC has proven to be a good investment.
Analysis & Possible Impact on Market Trends
BTC’s latest on-chain data from Cryptoquant shows a substantial degradation. The number of deposit addresses across all exchanges has reached below 25,000, precisely 16,150 addresses.
Deposit addresses beneath 25,000 is a critical indication of a strategy shift of Bitcoin holding among investors. The decrease was noted in the number of addresses on all exchanges that are willing to facilitate Bitcoin trade. Basically, holders preferred to retain their assets in anticipation of further price appreciation in the future.
The decline gives a bullish perspective. The current trend highlights strengthening confidence among Bitcoin investors.
This could have been driven by many factors, including increased institutional (whales or larger addresses) investment in cryptocurrencies.
A decreased willingness to sell BTC could lead to a possible reduction in the market supply. Thus, a steady or increased demand may cause price advancement in the future.
Assessing BTC’s Potential to Rise Further
BTC rallied after a hint of bullishness displayed over the past 18 days when it sustained by July 5th at the $56393 mark. As of writing, it had surpassed $66150, and it presents the possibility it could continue to rally higher in coming sessions.
Indicators have been bullish: the EMA bands have been overtaken from below. MACD showed a histogram-growing upside at 966.56, and RSI flashed at 60.55.
Based on the optimism, if the rally keeps increasing, then resistances could be at $68500 and $70100, respectively. However, failing below $66150 could lead to the next support at $63400.
The crypto has the largest market cap and ranks 1st among the global crypto list. The market cap reached $1.311 Trillion, which was reduced earlier to $1.07 Trillion by July 5th. The 24-hour volume surged by 34.26% to $44.04 Billion.
Additionally, the liquidity in BTC appears moderate to good. The 24-hour volume-to-market cap ratio stands at 3.42%, which appears to be improving and is one of the healthy traits (DYOR).
As per the rich list on the Coincarp website, the top 50 holders’ addresses hold 12.01% of the supply in circulation. The total number of BTC holders is 53.691 Million; the top 100 holders’ addresses hold 14.84% of the circulation.
BTC Rallied 25% From $54,000
Bitcoin rallied 25% from $54,000, with investors holding strong. Decreased deposit addresses signal bullish sentiment. Technical indicators support further upside, but caution is advised. The market cap surged to $1.3 Trillion, and liquidity improved.
