Jakarta, Pintu News – Bitcoin , known as the king of all cryptocurrencies, has been going through a consolidation phase the past few days. Despite this, the price of Bitcoin (BTC) has surged more than 13.6% in the last month.
Based on recent analysis, there are strong indications that Bitcoin (BTC) could soon reach $100,000 again. The four key indicators that point to this potential rally include declining reserves on exchanges, strong ETF inflows, a moderate MVRV ratio, and increased whale activity.
The latest data from on-chain analytics platform CryptoQuant shows a decline in the amount of Bitcoin (BTC) held by centralized exchanges. Currently, only 2.47 million BTC remain on crypto exchanges, reflecting a change in the long-term outlook of the market. A decrease in the value of reserves often signals an increase in buying activity by investors. Reduced exchange reserves usually indicate that investors are moving assets to personal wallets for long-term storage.
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The Bitcoin Exchange-Traded Fund (ETF) market has recorded tremendous inflows, indicating high chances for a recovery of up to $100,000. According to data from Farside Investors, Bitcoin (BTC) ETFs recorded net inflows of $425.5 million on May 5. BlackRock’s IBIT led the way with $531.2 million, indicating growing interest from institutional investors despite less than encouraging flows from previous weeks.
The recent surge in Bitcoin (BTC) whale activity supports the possibility of a sustained rally. The market has recently seen large purchase orders from whales, signaling that this group has restarted Bitcoin (BTC) accumulation. Bitcoin’s (BTC) moderate Market Value to Realized Value (MVRV) ratio also suggests a potential rally towards $100,000. Currently, Bitcoin (BTC)’s MVRV stands at 2.1, indicating that the market still has room to move higher.
With a range of favorable indicators, expectations for Bitcoin (BTC) to continue rising until it approaches the MVRV 3.7 region, which often signals a market top, are growing stronger. Investors and market watchers should take note of these signals to make informed investment decisions in the future.
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*Disclaimer
This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities are subject to high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying andselling Bitcoin and other crypto asset investments are the responsibility of the reader.