Bitcoin price has fluctuated from a heavy rejection of over $ 60,000 that caused the leading cryptocurrency by market cap to drop more than $ 10,000 per coin. However, due to the ongoing massive outflows of BTC, the popular Coinbase Pro cryptocurrency exchange continues to move at an alarming rate.
The general lack of BTC supply, which continues to shrink day by day, is once again dominated by demand, which can potentially cause the previously trending cryptocurrency to bounce off. Could this upswing develop into a resumption of the historic upward trend? Here’s what the basics say about another continuation or correction in the upcoming Bitcoin price.
Coinbase’s BTC outflows continue. Which companies may buy the dip?
Bitcoin price is down more than $ 10,000 from its current all-time high, but is still more than double its previous high in 2017.
The leading cryptocurrency has now spent more than 100 days above its previous high and is unlikely to ever return to levels near or below.
Related reading | Increasing bitcoin supply increases and decreases the bitcoin reserves that are ready to fuel the next leg
Thanks to massive Coinbase Pro outflows, Bitcoin price movement may not deviate much below current levels.
I think you know what massive outflows from Coinbase Pro usually mean. $ BTC pic.twitter.com/QS3LK39WZW
– Joseph Young (@iamjosephyoung) March 26, 2021
Thousands of BTC leaving the popular institutional investor cryptocurrency exchange have been dubbed the most bullish signal “ever,” and that was hundreds of thousands of BTC ago.
Technical factors in cryptocurrency have overheated after such a significant price hike, but fundamentals could soon take over and lead to a strong rebound.
Bitcoin price will rebound as supply shock is expected to overwhelm bearish techniques
So far, the presence of institutions and companies with low wallets and cash reserves with dwindling purchasing power has left very little room for correction.
Dips are bought out long before the retracements hit past bull market totals, but that doesn’t mean the momentum can’t stop for good, even for a short period of time.
Institutions and corporations buying each dip is preventing any serious corrections | Source: BTCUSD on TradingView.com
Regardless of technical factors, however, no yet-to-buy BTC could cause a supply shock that drives prices to hundreds of thousands of dollars per coin before demand subsides and available supply returns to the exchanges for investors to take profits.
Related reading | Coinbase Bitcoin outflows are the strongest bullish signal ever.
At this point the top will be in. Currently, the ongoing massive outflows suggest that the top is nowhere near in sight and that bigger players are buying the blood on the streets right now.
The line in the sand between bears and bulls moving higher is at $ 60,000. Moving further above this level could be a clear sign that the rally is ready to move higher.
Featured image from Deposit Photos, Charts from TradingView.com