A week ago, the markets were playing out well for Bitcoin as it had seen some upward momentum and had reclaimed the $22,000 area. In just seven days, the currency registered 7% gains.
However, the flagship currency couldn’t hold on to the rally for long and it started its downward journey with the release of the CPI data, which pointed toward inflation that stood at 8.26% for August.
At the time of reporting, Bitcoin is selling at $19,756 after a fall of 2.21% over the last 24hrs. Due to this, many market participants predict that the coming days might bring along a cruel bear market.
A CryptoQuant author and analyst, BaroVirtual, claims that a Bitcoin price crunch is around the corner. His data points of September 14 indicate the transfers of miners into spot exchanges on an hourly basis is at 10.4537, which suggests a bear market. This is because previously when the miner transfer to spot exchanges saw a rise, the bear market immediately followed.
On the other hand, even a well-known crypto influencer over Twitter, Mac, has claimed that the Bitcoin price is set to see drop to $17,000 in the coming days.
Positive Indicators For Bitcoin Price
On the flip side, while these analyses are pointing towards a price crunch, most of the on-chain indicators are referring to the possibility of a positive trade for Bitcoin. The supply of Bitcoin, which was last active for more than 10yrs, had hit an all-time high of 2,516,080.091 BTC.
Also, the King currency’s exchange outflow volume for the last seven day moving average is now standing at a one-month high and the SOPR of BTC is green too indicating bullish momentum.
Another analyst, anonymously known as El crypto, is putting out his views about a potential bull market ahead.
Though the current market condition doesn’t support the above claim, with the level of volatility that the crypto market posses, anything can be possible in the days to come.