Bitcoin price, in recent times have slowed down its rally due to some external factors or shift of focus on other cryptos. Therefore, the price chose to trend sideways with dropping its dominance paving way for the other assets to swell.
However, since the market crash that dragged the BTC price close to $30,000, the asset is attempting very hard to recover. Woefully, faces rejection each time at the upper resistance levels around $40,000. Therefore showcasing a huge possibility of trending within an accumulation mode as predicted by an analytics platform.
As per the chart put up by the analysts, the accumulation scheme is divided in different phases. In the first phase, the price experiences a huge crash. Followed by a healthy consolidation in the next phase, where-in the price is trending currently.
However, if the price movements follow this model, then with the beginning of the next phase, the price may dip further and consolidate. The series of s downtrend would end and the price may regain the bullish momentum with the initiation of the next phase. Here the price may rally high and hit the initial target set at $50,000.
Moreover, another case which suggests the upcoming bull run of the asset is the declining bitcoin treasury in the exchanges. As per some reports the amount of BTC held in spot exchanges continues to decline.
It clearly indicates that the asset is not lying idle in the exchange’s wallet but circulating around to create some volatility in the market. Therefore, the bitcoin price may propel high shortly, gaining a huge bullish momentum.