Bitcoin path to recovery is almost complete following its recent surge. It edged closer to its all-time high but lost momentum.
BTC started the week on a bearish note, suffering one of its biggest losses. Following a failed attempt at surging, it dropped from $98k to a low of $92,500. It lost over 5% amidst a small recovery.
There were fears of the asset dropping below the $90k spread on Tuesday as the apex coin continued its decline. It lost the $92k support and rebounded as the bulls staged buybacks. Nonetheless, this was the last notable decline as it surged higher on Wednesday.
BTC gained over 4% as it returned to $95k. It fully erased the losses during the current intraday session. It broke above $98k and peaked at $98,750. Another attempt at $99k failed the second time this week. Nonetheless, on-chain data points to a possible attempt at $100k within the next 24 hours.
Reducing Exchange Inflow
Data on CryptoQuant show a gradual decline in the amount of Bitcoin flowing into exchanges. Although traders are moving assets from cold storage, it is significantly lower compared to the previous intraday session. The bulls continue accumulation amidst the uptrend. Exchange reserves declined by 0.50% over the last 24 hours.
The bullish sentiment spread to almost every sector of the market. The United States is one of the major drivers of the ongoing surges. Coinbase premium is positive, indicating strong buying pressure from this region. Further data shows that whales using the platform are the main driver of the ongoing rally.
The Asian market is positive, with more traders buying than selling. The Korea premium is positive to this effect.
Investors are also stacking up on ETFs. These instruments registered netflow exceeding $130 million on Nov. 27 after two days of significant declines. The trend is ongoing, as indicated by the green funds premium. The number of active addresses has significantly reduced as many move to cold storage. Transactions are 35% lower than the previous intraday session.
Traders still believe the asset will climb higher. The Net Unrealized profit and loss metric slightly increased, showing high unrealized profit. The optimism sees more investors hold than selloff. The number addresses taking profit slightly declined.
Nonetheless, the derivative market is largely bullish. Buying sentiment remains dominant as more buy orders are getting filled. Funding rates are also on the rise as more long-position traders are willing to short trade. Open interest increased by almost 3% to this effect.
Bitcoin Sell Walls Collapse
Data from Coinglass suggests that one of the factors stopping the apex coin from hitting $100k is gradually fading. The bears staged a massive sell wall before the highlighted mark, resulting in a massive selloff before the milestone.
Fresh data shows the wall has significantly reduced and moved. It is currently around $99k, which explains the asset’s failure to surge above it. Nonetheless, it is notably lesser than before, increasing the chances of the asset breaking out.
Nonetheless, there are many buy orders at $95k in the event of a decline. This suggests that the largest cryptocurrency may see a buy at this price level in the event of a selloff.
