Bitcoin

Reversal

The recent retreat in Bitcoin price has taken the market by storm, while some experts remain optimistic about its future. Latest on-chain data and technical indicators suggest a significant bullish reversal may be on the horizon, potentially driving Bitcoin to $88,000. 
Notably, this optimistic forecast is fueled by a combination of historical trends and a notable flag pattern, igniting investor confidence amid the broader market volatility. 
<h2 id="on-chain-data-indicates-bitcoin-price-rally-to-88k-soon">On-Chain Data Indicates Bitcoin Price Rally To $88K Soon</h2> 
Prominent crypto market analyst Crypto Faibik has predicted a bullish turn for Bitcoin, citing a “Bullish Flag Pattern” on the weekly chart. In a post on the X platform, Faibik asserted that Bitcoin could surge to $88,000 by July or August. 
<figure style="width: 100%" class="wp-caption aligncenter">
 <img decoding="async" src="https://pbs.twimg.com/media/GQ6w5vcaQAAeLsd?format=jpg&amp;name=4096x4096" alt="Bitcoin price chart analysis" width="753" height="360">
 <figcaption class="wp-caption-text">
 Source: Captain Faibik
 </figcaption>
</figure> 
Notably, the flag pattern, often seen as a continuation signal, suggests that <a href="https://coingape.com/glossary/bitcoin/" target="_blank" rel="noopener">Bitcoin</a> might be preparing for another upward move after its recent consolidation. Supporting this outlook, another well-known analyst, Ali Martinez, emphasized the current “Fear” sentiment in the market, as reflected by the Bitcoin Fear and Greed Index, which has fallen to 30. 
<figure style="width: 100%" class="wp-caption aligncenter">
 <img decoding="async" src="https://pbs.twimg.com/media/GQ5tdRPXsAAupXP?format=png&amp;name=4096x4096" alt="Bitcoin Fear and Greed Index" width="753" height="441">
 <figcaption class="wp-caption-text">
 Source: Ali Martinez, X
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</figure> 
Meanwhile, Martinez noted that this drop in sentiment typically presents buying opportunities. Besides, he pointed out that the <a href="https://coingape.com/glossary/rsi-relative-strength-index/" target="_blank" rel="noopener">Relative Strength Index (RSI)</a> hitting oversold levels has historically preceded substantial price rebounds. 
Martinez highlighted that in previous instances over the past two years, similar RSI conditions led to Bitcoin price increases of 60%, 63%, and 198%. In addition, Martinez also pointed to the Market Value to Realized Value (MVRV) Ratio, which is currently below -8.40%. 
<figure style="width: 100%" class="wp-caption aligncenter">
 <img decoding="async" src="https://pbs.twimg.com/media/GQ27a3MXcAAXOax?format=jpg&amp;name=4096x4096" alt="Bitcoin Price MVRV" width="751" height="355">
 <figcaption class="wp-caption-text">
 Source: Ali Martinez, X
 </figcaption>
</figure> 
Looking at the historical trends, such levels have led to notable price surges. He observed that the MVRV ratio dipping to these levels previously triggered price jumps ranging from 28% to 100%. With Bitcoin currently under $60,000 and the MVRV ratio at -8.96%, Martinez suggests this could be an ideal time for investors to buy the dip. 
Also Read: <a href="https://coingape.com/jack-mallers-strike-launches-uk-will-it-boost-bitcoin-adoption/" target="_blank" rel="noopener">Jack Mallers’ Strike Launches In UK, Will It Boost Bitcoin Adoption?</a> 
<h2 id="institutional-accumulation-and-market-dynamics-in-play">Institutional Accumulation and Market Dynamics In-Play</h2> 
Complementing these technical analyses, data from on-chain analytics firm IntoTheBlock indicates substantial accumulation by large Bitcoin holders. According to their report, wallets controlling at least 0.1% of the total Bitcoin supply added 7,130 BTC, valued at approximately $436 million, in a single day. 
<figure style="width: 100%" class="wp-caption aligncenter">
 <img decoding="async" src="https://pbs.twimg.com/media/GQ6tFVhXoAAU48t?format=jpg&amp;name=large" alt="Bitcoin Large Holders Inflow" width="751" height="187">
 <figcaption class="wp-caption-text">
 Source: IntoTheBlock
 </figcaption>
</figure> 
This significant net inflow marks the highest level since late May, suggesting that despite market <a href="https://coingape.com/glossary/fud/" target="_blank" rel="noopener">fears, uncertainty, and doubts (FUD)</a> institutional investors are capitalizing on the recent price dip to accumulate more Bitcoin. 
The combined insights from Crypto Faibik, Ali Martinez, and IntoTheBlock highlight a growing sentiment among market participants that <a href="https://coingape.com/could-bitcoin-hit-50k-soon-after-recent-price-dip/" target="_blank" rel="noopener">Bitcoin’s recent decline</a> might be a precursor to a strong recovery. The flag pattern and on-chain accumulation align with the historical resilience of Bitcoin during periods of market fear, suggesting a possible rally toward $88,000. 
On the other hand, recent reports indicate that Morgan Stanley is likely to approve Bitcoin ETFs on its platform for customers by August 2024 end. The report, citing a “very senior source”, has further fueled optimism over growing institutional interest in the flagship crypto. 
As of writing, <a href="https://coingape.com/price/bitcoin/" target="_blank" rel="noopener">Bitcoin price</a> exchanged hands at $61,254.19, noting a flat change from yesterday. Furthermore, the crypto has touched a low of $58,601.70 in the last 24 hours, with its trading volume soaring over 32% to $37.15 billion. 
Also Read: <a href="https://coingape.com/metaplanet-creates-offshore-arm-for-enhanced-bitcoin-strategy/" target="_blank" rel="noopener">Metaplanet Creates Offshore Arm for Enhanced Bitcoin Strategy</a> 
The post <a href="https://coingape.com/bitcoin-price-flag-pattern-on-chain-data-signal-reversal-88k-soon/">Bitcoin Price: Flag Pattern And On-Chain Data Signal Reversal To $88K Soon</a> appeared first on <a href="https://coingape.com">CoinGape</a>.

Bitcoin Price: Flag Pattern And On-Chain Data Signal Reversal To $88K Soon

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