Bitcoin (BTC) delivered its best weekly performance in more than two months, climbing 4.24% at an intra-day summit at $ 88,804. BTC also recovered an upward position on the graphics, closing above the 200-day exponential mobile average of the daily graph (EMA).
Bitcoin 1 day. Source: Cointelegraph / TradingView
With a weekly fence greater than $ 84,600, the probability that BTC will test $ 90,000 increases. However, the price of the BTC must overcome the level of resistance descending to make a lasting movement at the peaks of the beach.
Bitcoin correction is a “healthy break”
Bitcoin’s researcher, Axel Adler Jr. Adler Jr. noted that BTC has not yet entered the “overheated” territory in this cycle, as indicated by the BTC investors’ price model.
This metric lit a sales signal twice in 2021, and the model joined the ceiling carried out, the thermo ceiling, the price of investors and the Bitcoin offer.
Using the days of cumulative value of destroyed Bitcoin (CVDD), Adler argued that the market remains in a “growth stage”.
Cumulative Bitcoin Value Days. Source: AdlercryptoSOsights / Sublack
Metric CVDD monitors the sales activity among long -term holders. The current bull cycle (2024-2025) sparked a sales signal only once, in March 2024. In a substitution article, said Adler, said Adler, said Adler,
“Given the current market dynamics, we could see experienced investors taking profits once Bitcoin failed at key cutting -edge levels ($ 123,000), potentially losing a drop in price.”
According to the above analysis, Adler Jr. predicted that Bitcoin could climb $ 130,000 within 90 days.
Related: Bitcoin must recover this 2025 key level to avoid new stockings – research
Bitcoin Open Interest jumps $ 1.5 billion in 24 hours
According to Velo Data, the open interest of Bitcoin (OI), representing the total value of current contracts in progress, jumped more than $ 1.5 billion in the last 24 hours.
Meanwhile, the funding rate, which reflects the cost of holding leverage, has remained almost neutral. This suggests that neither the optimistic (long) nor Baisans (short) traders were mainly in control.
Bitcoin price and aggregate open interest. Source: Velo.chart
Bitcoin experienced an increase in the momentum at the top late Sunday, March 23. Weekend price rallies like this often occur with a lower negotiation volume, because the largest players on the market tend to step back until the start of the week. In such a scenario, leverage transactions amplifying action could strongly influence the price movement.
In a post X, anonymous crypto analyst, IT Tech PL, also underlined the elevation of the level OI after BTC exceeded $ 87,500. However, the analyst added,
“But here is the capture: high price increase in Rapid de OI + risk of liquidation cascades!”
Bitcoin 4 hours. Source: Cointelegraph / TradingView
From a technical point of view, Bitcoin recorded a new summit at $ 88,750 from the top of the previous week. However, as the graph exposed, the price tested the upper Bollinger strip along the downstream resistance. In addition, the BTC also oscillates in an ascending channel.
Based on the above confluence, BTC could attend a short-term correction to test the request zone around $ 86,000 to $ 87,000 before crossing the $ 90,000 threshold.
Related: Michael Saylor’s strategy exceeds 500,000 bitcoin with the last purchase
This article does not contain investment advice or recommendations. Each investment and negotiation movement involves risks and readers should conduct their own research when they make a decision.
