Analytics firm CryptoQuant suggests Bitcoin could be poised for a significant rally potentially exceeding $110,000. This outlook is based on current network metrics mirroring patterns observed before previous major price increases.
Key indicators underpinning this analysis include Bitcoin’s network activity hitting an 18-month low. Such subdued activity levels have historically preceded substantial price movements.
Further supporting the potential for an upward trajectory, long-term investors continue to accumulate Bitcoin, demonstrating confidence and stability amid market volatility. This accumulation phase often signals underlying strength.
Recent market activity also shows liquidations of short positions, contributing to heightened volatility and potentially fueling price surges. The analysis draws noticeable parallels to past market cycles where similar conditions anticipated significant rallies.
While acknowledging ongoing regulatory uncertainty that could impact the market, CryptoQuant notes no immediate announcements affecting the current outlook.