Following a brief period of decline, Bitcoin’s value is once again on the rise, inching closer to its peak price.
Some investors took advantage of the recent dip in Bitcoin’s price to make purchases, potentially contributing to the cryptocurrency’s resurgence.
Could this surge in buying activity drive Bitcoin to achieve a new all-time high in the near future?
Growing Interest in Bitcoin
A notable cryptocurrency analyst, Ali, highlighted a significant surge in buying pressure for Bitcoin on the Binance platform.
This uptick in demand indicated a bullish sentiment and hinted at a potential upward price movement for Bitcoin.
Moreover, the decrease in Bitcoin’s exchange balance over the past fortnight suggests that investors are accumulating this premier digital asset.
Data from CryptoQuant indicated that Bitcoin’s Coinbase premium was positive, signaling robust buying interest from U.S. investors.
On the other hand, Bitcoin miners appeared less optimistic as evidenced by a notable drop in miners’ Bitcoin holdings, indicating a potential sell-off.
Is This Enough to Reach a New All-Time High?
The recent surge in buying pressure led to a 14% increase in Bitcoin’s price over the past week, bringing it closer to the $91,000 mark.
If the current trend of accumulation persists, it wouldn’t be surprising to see Bitcoin hitting a new peak soon.
Short-term projections suggest that retesting $91,000 may not pose a significant challenge for Bitcoin, as liquidation levels are expected to surpass $91,600.
An increase in liquidation often indicates a higher likelihood of a price correction.
However, not all indicators point towards a price surge. For instance, Bitcoin’s aSORP turned negative, suggesting increased selling activity among investors looking to capitalize on profits.
Additionally, Bitcoin’s Binary CDD highlighted a rise in movement among long-term holders, which could potentially have a negative impact if these holdings are being liquidated.
Complementing the aSORP, Bitcoin’s Chaikin Money Flow (CMF) showed a decline, indicating a shift in buying and selling pressures.
A decreasing CMF typically confirms a downtrend, which might pose obstacles for Bitcoin on its journey towards $91,000.
Nevertheless, the MACD signal remained bullish, indicating that Bitcoin’s potential to retest its all-time high remains viable.