Bitcoin is back in the spotlight as retail demand surges to its highest level since 2020. CryptoQuant analyst Darkfost recently analyzed this development in a report titled (Bitcoin Retail Investor Demand Surges)
Analysts say the 30-day change in retail investor demand has reached its highest point in years, indicating a renewed interest in Bitcoin among small investors. The recovery comes as long-term holders gradually take profits, suggesting a shift in market stance.
Is it more possible than ever to make $100,000?
Increased retail investor participation is often a double-edged sword for markets. On the one hand, it reflects increased participation and optimism, which drives demand higher. On the other hand, historical trends show that increased retail activity often coincides with local market peaks.
Darkfost stressed that Bitcoin appears to be entering a sideways trading period, with prices hovering between key resistance and support levels. This consolidation phase could lead to a temporary drop in retail demand as momentum slows.
However, the analyst also said that a break above the psychological $100,000 mark could reignite retail interest, potentially triggering a market mania phase, which has historically been characterized by large price increases driven by an influx of retail and institutional capital.
Darfost wrote:
Monitoring the interplay between retail and institutional activity is critical during this phase, as strong retail participation often signals increased market optimism, while institutional interest sets the stage for continued momentum.
Bitcoin Market Performance
Bitcoin’s price now appears to be gradually recovering after having barely budged in recent days. As of this writing, Bitcoin is up 1.4% over the past day and is currently trading at $95,713.
This puts the BTC price down about 3.9% from its all-time high of $99,645 in November. Additionally, as of today, this price level has given BTC a market cap of $1.89 trillion with a 24-hour trading volume of $83.5 billion.
Despite BTC’s weak price action, analysts remain quite optimistic about Bitcoin. For example, Captain Faibik, a well-known cryptocurrency analyst, recently revealed in an article on X that Bitcoin is still expected to rise.
The analyst marked a symmetrical triangle pattern on BTC’s daily chart, setting a price target for BTC above $105,000.
The next bullish rally for $BTC may be just around the corner. 📈
Next stop: $106K