Bitcoin Price Prediction: BTC On-Chain Data Signals Bullish Sentiment, Is $20k Next?
Bitcoin price prediction: BTC price hit a high of $18,318 in the last 24 hours. Despite a correction in the BTC price after the U.S. Federal Reserve’s 50 bps rate hike, the sentiments remain positive. Bitcoin on-chain data also indicates a decline in Bitcoin selling pressure by whales and miners.
With the Bitcoin (BTC) price breaking above the $18K resistance level and the crypto market FUD slowly coming to an end, experts suggest an upcoming bulls takeover for a rally to $20K.
Bitcoin Selling Pressure Decreasing
According to on-chain analysis, the Bitcoin (BTC) Spent Output Value Bands – All Exchanges metric indicates that the amount of whale deposits on crypto exchanges is decreasing.
The data helps determine the changes in Bitcoin price based on the behavior of whales depositing 1K to 10K BTCs into crypto exchanges. Historically, whales selling their BTC holdings by sending them to crypto exchanges resulted in the formation of Bitcoin bottom.
Despite the FTX crisis being more severe than the Terra-LUNA crisis, whale deposits to the crypto exchanges are decreasing. In fact, the risk of the upcoming miner crisis could vanish if Bitcoin price continues to show bullish momentum.
On-chain data also indicates an increase in Bitcoin long-term holders. Therefore, a selloff due to miner capitulation could be a long decline than a short panic sell. The percentage of total mined BTCs held for over six months was 78.37%, almost close to an all-time high.
Bitcoin (BTC) Price Enters Accumulation Cycle
Bitcoin is entering a pre-halving accumulation cycle after a year-long bear market that saw massive selloffs by whales and miners. In fact, institutional investors are expected to quietly buy the dip similar to the previous accumulation cycle of 2019-2020.
Ark Invest CEO Cathie Wood also expects a wave of institutional investors to jump in and buy Bitcoin and Ethereum. Cathie Wood remains bullish on Bitcoin hitting $1 million by 2030.
Technical analysis points out that a fall below $17k is now invalid and $17.5k is the new support level. Bitcoin price has its first daily close back above June lows.
Bitcoin price is predicted to first rally to $19k resistance level and then a pullback may occur. The current momentum suggests the BTC price will test $19K in December. The price is currently trading at $17,692.
Also Read: Will Bitcoin (BTC) Price Pump Or Dump This Coming Weekend?
- James Wynn Takes XRP Long Bet After Ripple Prime Announcement
- Nasdaq-Listed Bonk Holdings Makes First Major Purchase of $32M, Nears 3% of Total Supply
- Binance-based Meme Coin GIGGLE Fund Shoots 145% on Exchange Listing News
- ASTER Gets Major Boost as Project Launches Token Buyback Program, Expert Predicts $10 Spike
- Trump Picks SEC Crypto Counsel Michael Selig to Lead CFTC Amid Crypto Oversight Push
- HBAR Price Targets 50% Jump as Hedera Unleashes Massive Staking Move
- Chainlink Price Outlook: Analyst Predicts $100 as Reserve Adds 63K LINK
- SUI Price Prediction as TVL and Monthly DEX Volume Hit All-Time Highs- What’s Next?
- PUMP Price Prediction as Whales Accumulate 4.2B Tokens- Is 135% Rally Next?
- Dogecoin Price Crash Looms as Flag, Death Cross, Falling DOGE ETF Inflows Coincide
- Solana Price Prediction as Osprey’s S-1 Filing and Hong Kong’s ETF Launch Fuel Reversal Hopes- Is $250 Next?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
