Bitcoin has been showing strength recently, hitting $65,000, breaking past $67,000, and now trading at $67,100. With this momentum, there’s talk among traders and analysts about a potential move higher, and we might be on the brink of some interesting developments. Let’s see what top analysts are saying today.
Crucial Days Ahead
Rekt Capital, a well-known trader with over 500K followers on X (formerly Twitter), believes the next few days could be crucial for Bitcoin’s trend. He points out that previous daily patterns around the downtrending channel’s top resistance (marked in red in his chart below) give us clues about what might happen next. According to him, while daily closes within this resistance area aren’t as telling, successful retests of this channel top (highlighted in black) as new support are essential.
Next days will be crucial when it comes to deciding the next major trend
Previous Daily clusters of price action (blue circles) in and around this Downtrending Channel Top resistance (red) offer a lot of insight
For example, Daily Closes inside this resistance (red)… https://t.co/jiN2xHXyuh pic.twitter.com/KBg3HOp1Pj
— Rekt Capital (@rektcapital) October 15, 2024
If Bitcoin keeps retesting this level as support on the daily chart, it could lead to a strong weekly close. This would then confirm the path for Bitcoin to climb towards $71,000. Rekt Capital even shared a chart showing that we might be on the verge of testing new highs, hinting at a potential bullish trend ahead.
We are here (orange circle)$BTC #Crypto #Bitcoin pic.twitter.com/KmJsLpiBup
— Rekt Capital (@rektcapital) October 15, 2024
Miner Revenue Bottom
PlanB, known for the stock-to-flow model, has a similar outlook. With over a million followers on X, he recently shared a chart focused on Bitcoin miner revenue. He suggests that miner revenue has hit its bottom, which, based on his model, hints at an upcoming breakout. This pattern mirrors what we’ve seen in past halving years, further supporting the idea of more upward movement. Miner revenue bottom refers to the point where Bitcoin miners’ earnings hit their lowest level, often signaling that selling pressure from miners may decrease, leading to a potential price recovery.
Looks like miner revenue bottom is in .. you know what it means pic.twitter.com/4HaQXZPeQj
— PlanB (@100trillionUSD) October 15, 2024
What CryptoQuant Research Tells Us
CryptoQuant adds another layer to the analysis, pointing out that Bitcoin is currently at a critical psychological threshold. Many investors are already in profit, which tends to reduce the chances of a major decline. Historical data backs this up—during previous bull runs in 2016 and 2020, Bitcoin maintained its uptrend when it traded between this psychological range and what they call the “optimism zone.” As long as Bitcoin stays within this range, the chances of a significant drop seem low.
Supply in Profit Metric
One key metric to watch is the “Supply in Profit.” This shows the percentage of Bitcoin supply that’s currently in profit. When this metric is high, optimism generally rises. Right now, the supply in profit ratio is at a psychological turning point. If Bitcoin can hold this level, it could serve as a foundation for further upward moves, potentially driving the price higher.
Looking Back at Previous Bull Markets
Reflecting on past bull cycles, such as in 2016 and 2020, Bitcoin maintained its strength when trading within this critical range. If it breaks past this level, there’s a strong chance we could see another upward trend. This could mean more gains on the horizon, with $71,000 as the next target.
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