Bitcoin (BTC) price has found a new surge of bullish momentum in the past week rising to a new two-month high of $46,637. After consolidation for nearly three months in the price range of $30K-$40K, the top cryptocurrency looks set to test its previous highs.
Bitcoin exchange supply ratio has dipped to the lowest in 26-months, indicating a strong bullish sentiment. A low exchange supply wards off chances of any market sell-off and also reflect investor confidence. The top cryptocurrency managed to get past the key resistance of $45K, and now set eyes of $50K price target.
The May market sell-off had put extreme selling pressure on BTC that saw its price dip below $30K on a couple of occasions. However, with the start of August, the BTC market saw a new bullish resurgence converting key on-chain resistances of $40K and $42K into support.
Bitcoin Flashes Biggest Buy Signal
Bitcoin’s next key on-chain resistance lies at $47,000, breaking which it can see a potential upswing to $65,000. One of the most accurate and bullish BTC indicators Hash Ribbons flashed a buy signal again. The Hash Ribbons buy signal is often flashed after a miner’s capitulation event, and the current signal is being attributed to the recent Chinese crackdown on BTC mining.
The biggest buy signal for Bitcoin could come into play in the coming couple of weeks and help BTC move past its current on-chain resistance.
On-chain data also pointed towards strong bullish sentiment among long-term investors, as the majority of sell-off in the crypto market has come from short-term investors. Bloomberg analyst reinstated their $100,000 price target by the end of the year on the back of growing interest from Institutional giants and growing demand for digital assets.
Until last month, many believed BTC has reached its market top and might be entering a bear market. However, the price surge above $40,000 reignited the bulls and it might be the worst time for anyone to sell their bitcoin.