Key Takeaways
Why is BTC a buy opportunity at current levels?
Macro tailwinds and easing selling pressure could reignite Bitcoin’s uptrend, according to CryptoQuant CEO Ki Young Ju.
What are the analysts’ projections for BTC?
Staying above $100K could drive accumulation and price range. But reclaiming $108k-$110k would be a bullish pivot.
Bitcoin [BTC] has been consolidating recent losses above $100K and attempted to climb higher towards $110K following the update of a potential deal to end the U.S. government shutdown.
However, the asset was still under heavy selling pressure, noted Ki Young Ju, CEO of CryptoQuant. He added,
“There is still heavy selling pressure, but if you think the macro outlook is strong, it is a good time to buy.”
Source: X
What’s next for BTC: Sideways or a bullish pivot?
On a weekly average, Bitcoin’s Realized Profit has hit $1-$2 billion since late September. In July, when long-term holders accelerated the sell-off, weekly profit-taking reached over $4 billion.
Source: Glassnode
So, the selling pressure has eased by half, and an improvement in the macro front could trigger the needed lift off for the next leg higher.
Some of the macro factors being tracked include the end of the government shutdown and quantitative tightening (QT), Fed rate cuts, and the eventual replacement of Fed Chair Jerome Powell with a more dovish nominee.
Overall, these factors are expected to inject more liquidity into the market and rally risk assets, including BTC.
ETF flows weaken while whales dominate
So far, the overall selling pressure from whales has outpaced the combined demand from ETFs and digital asset treasury (DAT) firms, such as Strategy (formerly MicroStrategy).
The ETFs, for example, have recorded net negative flows throughout November, although the outflows had eased slightly.
Source: Glassnode
This has further subdued and capped BTC’s strong rebound, noted trading firm QCP Capital. The firm added,
“DAT activity remains subdued but crucial. Unless legacy supply clears, the base case stays range-bound near-term, with upside capped around $118k.”
Bitfinex analysts shared a similar sideways projection, noting that the bullish structure could resume only if BTC reclaims the STH Cost Basis of $112.5k as support.
For Swissblock analysts, however, BTC’s bullish pivot would happen if $108k-$110k zone is reclaimed and defended as support.
“Hold structure, reclaim $108K–$110K pivot zone, and momentum starts igniting. Selling pressure is easing, and $BTC is giving early signals of a bullish reversal.”
Source: Swissblock
As of writing, BTC traded at $105,200 after a brief rejection at $107,500 and was close to triggering the bullish pivot.