Bitcoin (BTC) has struggled to maintain its upward momentum after reaching an all-time high of $111,917 on May 23. Since then, the leading cryptocurrency has experienced a period of correction and consolidation, hovering around the $105,000 level in recent days.
Despite this slowdown, on-chain metrics show that miners are not showing any signs of panic. Their behavior indicates increased confidence in the likelihood of a bullish movement, and this analysis explains why.
The "Miner Reserve" metric in BTC has risen to 1.8 million with the easing of selling pressure.
According to CryptoQuant, Bitcoin network miners continue to hold onto their tokens amid sideways Bitcoin price movement. This is reflected in the increasing number of Bitcoin miners, indicating a decrease in the number of tokens sent to trading platforms for liquidation.
At the time of writing this report, the reserve of Bitcoin miners stands at 1.8 million Bitcoin, an increase of 1,556 Bitcoin over the past week. When the miners' reserve increases in this way, miners on the network hold onto more of their mined coins rather than selling them.
This behavior indicates bullish sentiment, as miners expect prices to rise in the short term.
Additionally, the flow of Bitcoin from miners to trading platforms has decreased - which measures the total amount of tokens sent from miners' wallets to trading platforms. Compared to its 14-day moving average, it has declined by 14% over the past seven days.
When the flow of Bitcoin from miners to trading platforms decreases in this way, it indicates that miners are not selling their tokens. This decrease in selling pressure can help stabilize the price of Bitcoin and stimulate sustainable growth.
The price of Bitcoin fluctuates between a target of $109,000 and breaking below the $100,000 level.
The price of Bitcoin is trading at $105,103 at the time of publication, just below the resistance level formed at $106,548. If Bitcoin miners refrain from selling, this could trigger accumulation in the market that pushes the price of Bitcoin above this resistance level.
In this scenario, it is possible for Bitcoin to trade at $109,310.
However, if profit-taking strengthens, the price of Bitcoin may drop further to $103,061. If this support weakens, the price of Bitcoin could fall below $100,000.
#BinanceAlphaAlert #SaylorBTCPurchase #TrumpMediaBitcoinTreasury #elaouzi