- Bitcoin’s price action has been quite mixed lately, with buyers and sellers both vying for control over the cryptocurrency’s trend
- In the medium term, bulls are clearly in control and showing no signs of giving up bears anytime soon
- Where medium-term market trends are likely to depend on whether Bitcoin starts rallying again independently from the rest of the market
- If altcoins give up some of their power in the short term, it could fuel a rise past all-time highs
- Although the price of BTC is relatively high compared to where it was just a few months ago, on-chain data seems to indicate that large whales are still pouring into BTC at a rapid pace
Bitcoin has seen some wild price swings in recent days, plunging to lows of $ 30,000 a few days ago, before rocketing to the highest of $ 33,500 this morning.
The cryptocurrency is currently showing little sign of weakness, with bulls slowly pushing the cryptocurrency higher as they aim further for the short term.
Where the entire medium term market trends will undoubtedly depend on Bitcoin and whether or not it can create tailwind for Ethereum and other altcoins.
An analyst on the chain now notes that data indicates that whales and institutions are still pouring into Bitcoin despite relatively high prices. This indicates that upside is potentially imminent.
Bitcoin is gaining momentum as the market-wide rally continues
At the moment of writing, Bitcoin is trading just under 6% at the current price of $ 33,770. This marks a massive rise from the recent low of $ 30,000 set a few days ago.
The entire market is rising along with BTC, with Ethereum and most of the major DeFi altcoins getting a serious boost.
Bitcoin appears to be vying for a move to its previous all-time highs, but it remains unclear whether it will gain enough momentum to smash this level any time soon.
Institutions are still buying BTC despite the rally
Institutions continue to drive cryptocurrency growth and show no signs of slowing down their newfound Bitcoin accumulation habits.
An analyst explained in a recent tweet that data indicates that institutions are still bidding on the price of Bitcoin.
FYI, the Coinbase outflow on January 2 was a record high. It seems institutions bought BTC when price was above 30k. The BTC bull market is not over yet. “
Image Courtesy of Ki Young Ju. Source: CryptoQuant.
This means that Bitcoin An immediate trend change is unlikely to occur, although the uptrend may decline once this category of buyers becomes satisfied with their positions.
Featured image from Unsplash. Charts from TradingView.