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• Bitcoin price will likely fall into the $59,111 to $53,120 imbalance, allowing sidelined buyers to accumulate.
• A rebound from this zone could propel BTC towards $80,000, a new all-time high.
• On-chain metrics support BTC’s short-term recovery.

Bitcoin’s (BTC) recent price consolidation may be coming to an end as technical indicators and network metrics suggest a potential upside breakout. However, this measure would not be simple and could punish impatient investors.

Read too: Bitcoin Weekly Forecast: BTC’s Post-Halving Rally May Be Partially Priced In

Bitcoin price sets the stage for the next move

Bitcoin the price has been hovering above the imbalance on the weekly chart, extending from $59,111 to $53,120, failing to dip into it. As mentioned in past predictions, this inefficient zone is essential for potential purchase orders to be triggered. To make the corrective outlook more convincing, investors can note the set of equal lows formed just above the aforementioned imbalance upper limit of $59,111.

The ideal scenario for Bitcoin price to restart its uptrend or bullish atmosphere is to trigger a correction that sweeps the sell side liquidity falling below US$59,111 and plunging into said imbalance. Depending on the buying pressure here, the rally could turn into a continuation of the bull run.

Assuming buyers move higher, Bitcoin price will face resistance around the 2021 high of $69,138. If BTC manages to produce a weekly candle close above this level, it would mark the first higher high in the six-week consolidation that has set three lower highs.

Such a development would not only boost confidence in the crypto scene but also restart the uptrend, potentially leading BTC to reach the psychological $80,000 level.

The daily Relative Strength Index (RSI) for Bitcoin price has fallen below the average level of 50 and is attempting a comeback. The same can be said for the Awesome Oscillator (AO). To be more precise, the current position of the RSI appears similar to what occurred between the end of December 2023 and the beginning of January 2024. To conclude, although both impulses indicators While not yet signaling a bullish scenario, they are prepared to turn bullish if the situation arises.

See more information: Bitcoin bullish plans thwarted by rising US dollar

BTC/USDT 1-Week Chart

According to Santiment, Bitcoin’s 30-day market value to realized value (MVRV) ratio currently hovers around -3.00%, after recovering from -8.25% in recent weeks. This indicator is used to determine the average profit or loss of investors who purchased BTC in the previous month.

The -3.00% suggests that investors who purchased BTC last month are at an average loss of -3.00%. Ideally, a positive value serves as a sell signal as it reveals unrealized profits. On the other hand, a negative value denotes a potential buy signal due to unrealized losses.

Although MVRV has safely recovered -10%, it still gives a potential buy signal. As mentioned above, technicians are predicting a near-term decline, which could give sidelined buyers another opportunity to buy.

Read too: Week Ahead: Crypto Market Volatility Likely to Return as BTC Halving Approaches

30-day BTC MVRV

Additionally, the Whale Transaction Count (WTC), which tracks BTC transfers worth $100,000 or more, has shown spikes during price dips from the ongoing consolidation. This relationship clearly indicates that these large investors were moving their money to buy BTC at a discount.

Bitcoin WTC

In short, Bitcoin price appears to trigger a bullish breakout, but investors need to be cautious and wait patiently for a dip. On the other hand, if BTC fails to reach the $59,111 to $53,120 imbalance, it means that the smart money is likely trying to capture the first bulls, starting a quick recovery.

If Bitcoin price were to produce a weekly candle close below $53,120, the lower boundary of the imbalance zone, this would create a lower low and confirm the persistence of the downtrend. Such a development would invalidate the bullish outlook and potentially send prices down 15% towards the next major support level at $45,156.

• Bitcoin price will likely fall into the $59,111 to $53,120 imbalance, allowing sidelined buyers to accumulate.
• A rebound from this zone could propel BTC towards $80,000, a new all-time high.
• On-chain metrics support BTC’s short-term recovery.

Bitcoin’s (BTC) recent price consolidation may be coming to an end as technical indicators and network metrics suggest a potential upside breakout. However, this measure would not be simple and could punish impatient investors.

Read too: Bitcoin Weekly Forecast: BTC’s Post-Halving Rally May Be Partially Priced In

Bitcoin price sets the stage for the next move

Bitcoin the price has been hovering above the imbalance on the weekly chart, extending from $59,111 to $53,120, failing to dip into it. As mentioned in past predictions, this inefficient zone is essential for potential purchase orders to be triggered. To make the corrective outlook more convincing, investors can note the set of equal lows formed just above the aforementioned imbalance upper limit of $59,111.

The ideal scenario for Bitcoin price to restart its uptrend or bullish atmosphere is to trigger a correction that sweeps the sell side liquidity falling below US$59,111 and plunging into said imbalance. Depending on the buying pressure here, the rally could turn into a continuation of the bull run.

Assuming buyers move higher, Bitcoin price will face resistance around the 2021 high of $69,138. If BTC manages to produce a weekly candle close above this level, it would mark the first higher high in the six-week consolidation that has set three lower highs.

Such a development would not only boost confidence in the crypto scene but also restart the uptrend, potentially leading BTC to reach the psychological $80,000 level.

The daily Relative Strength Index (RSI) for Bitcoin price has fallen below the average level of 50 and is attempting a comeback. The same can be said for the Awesome Oscillator (AO). To be more precise, the current position of the RSI appears similar to what occurred between the end of December 2023 and the beginning of January 2024. To conclude, although both impulses indicators While not yet signaling a bullish scenario, they are prepared to turn bullish if the situation arises.

See more information: Bitcoin bullish plans thwarted by rising US dollar

BTC/USDT 1-Week Chart

According to Santiment, Bitcoin’s 30-day market value to realized value (MVRV) ratio currently hovers around -3.00%, after recovering from -8.25% in recent weeks. This indicator is used to determine the average profit or loss of investors who purchased BTC in the previous month.

The -3.00% suggests that investors who purchased BTC last month are at an average loss of -3.00%. Ideally, a positive value serves as a sell signal as it reveals unrealized profits. On the other hand, a negative value denotes a potential buy signal due to unrealized losses.

Although MVRV has safely recovered -10%, it still gives a potential buy signal. As mentioned above, technicians are predicting a near-term decline, which could give sidelined buyers another opportunity to buy.

Read too: Week Ahead: Crypto Market Volatility Likely to Return as BTC Halving Approaches

30-day BTC MVRV

Additionally, the Whale Transaction Count (WTC), which tracks BTC transfers worth $100,000 or more, has shown spikes during price dips from the ongoing consolidation. This relationship clearly indicates that these large investors were moving their money to buy BTC at a discount.

Bitcoin WTC

In short, Bitcoin price appears to trigger a bullish breakout, but investors need to be cautious and wait patiently for a dip. On the other hand, if BTC fails to reach the $59,111 to $53,120 imbalance, it means that the smart money is likely trying to capture the first bulls, starting a quick recovery.

If Bitcoin price were to produce a weekly candle close below $53,120, the lower boundary of the imbalance zone, this would create a lower low and confirm the persistence of the downtrend. Such a development would invalidate the bullish outlook and potentially send prices down 15% towards the next major support level at $45,156.

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