Crypto Quant Data Hints An Imminent Bitcoin Price Rally, Will It Be Strong?


The start of 2022 was difficult for the world’s largest cryptocurrency, Bitcoin. Many experts believe that the digital token will eventually reach a price of $100,000. For them, this is not a case of if but when. Deutsche Bank also reported that some bitcoin investors see the price of bitcoin reaching $110,000 in five years.

Meanwhile, experts are warning new crypto investors, saying that they should be careful about how much they want to invest. They mention this given the volatility of BTC recently.

The token has shown a significant rise in value over the years. So even though the market is still bearish, investors are expecting a short-term rally in its price soon.

Brief on Bitcoin price action

While the cryptocurrency market currently looks unfavorable to investors, BTC appears to be shaping up for a recovery. It has remained near the $19,000 price level since dropping from $22,000 in September. Bitcoin has maintained a range movement, which many believe is a sign, at least, of a short-term rally.

The unfavorable price movement of bitcoin can be traced back to multiple factors coinciding with the current global financial shutdown. Another major factor driving the crypto market downturn was the crash of Terra.

Since mid-June this year, the event has kept BTC hovering around the $20k price tag. Although there have been times when I exceeded this price level.

BTC recovery expected

While the market is still in bearish territory, the cryptocurrency market is showing signs of recovery. This is evidenced by the on-chain data in the cryptocurrency market. According to data from Encoder quantityInvestors can expect a long and strong uptrend in the market.

A report shows that Bitcoin has shown some growth in its daily and weekly volume. This fact usually indicates the formation of a strong and long uptrend. On this basis, investors hope for a bull market in a short period.

Although these signs are not new, they were also seen on multiple occasions in March 2022. At the time of writing, Bitcoin is at $18,712 with a price change of 2.31%.

Crypto Quantum Data Suggests Bitcoin Price Rally Imminent, Will It Be Strong?
Bitcoin Drops Below $19,000 on the Chart of BTCUSDT on Tradingview.com

Experts have indicated that an upward shift in the price of Bitcoin is still a long way off. Their predictions are based on the historical trend of the crypto market, which usually lasts from 24 to 27 months.

Florian Gromis also expressed his thoughts on the current crypto winter. Gromis is the director of Midas Touch Consulting. In his speech, he stated that the cryptocurrency crash may continue for another year based on the historical pattern.

Featured image from Pixabay and chart from TradingView.com



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