Bitcoin (BTC) Price Prediction: BTC Primed for a Massive Bull Run to Shatter the $60,000 Resistance

Bitcoin is making moves for a retest of $60,000. The latest technical analysis, paired with the on-chain metrics that provide clarity, suggests a bull

Bitcoin price analysis shows a potential bull run.

Key technicals show an ascending triangle formation, hinting at a breakout target of $60,042.5.

On-chain metrics reveal a decrease in sending addresses, indicating reduced selling pressure and a bullish outlook.

Despite the bullish signals, traders should monitor crucial levels, including the critical stop loss at $56,870, before making any investment decisions.Bitcoin price analysis for the past week shows a promising uptrend, rising from $57,180 on August 1 to reach a high of $58,674 on August 8, indicating a gain of 2.6%. However, the world’s leading cryptocurrency faced resistance at $58,674 and dropped down to reach a low of $57,300, showcasing a decrease of 2.3%. But BTC price recovered once again and closed the week at $57,530, displaying a gain of 0.6%.

Despite the bullish signals, traders should monitor crucial levels, including the critical stop loss at $56,870, before making any investment decisions.

Bitcoin price chart displaying the ascending triangle formation and breakout target. (Source: TradingView)

A technical analysis of the Bitcoin price chart highlights the formation of an ascending triangle pattern, which is a bullish breakout pattern that occurs when there are higher lows at the horizontal resistance line. As of August 8, the price of Bitcoin is about $57,530, and the Fibonacci retracement acts as a principal resistance line. Presently, the critical support level is $56,995.3, based on 0.786 Fibonacci Retracement [RHS of the chart above].

Ascending triangles usually represent consolidation before an asset price breaks out of the upward trajectory of its previous move. However, the breakout indicates a target of $60,042.5 for this move, as determined by the triangle’s height. This is in line with the 1.786 Fibonacci extension level and further confirms a bullish scenario.

Bitcoin sending addresses on the rise, indicating decreasing selling pressure. (Source: Glassnode)

Crucial on-chain metrics that support this technical view are those of Bitcoin sending addresses. According to data provided by Glassnode, from August 1 to August 8, there was a significant drop in the number of sending addresses. When sending addresses decline, it is an important indicator as a shrinking number of sending addresses commonly foreshadows decreased selling pressure.

Conversely, a decrease in the number of unique addresses sending Bitcoin suggests a reduction in the willingness of holders to sell in bulk, which is typically a bullish indication. Moreover, what this chart shows is a downtrend of sending addresses between 8/5 and now, starting from $506k, dropping down sharply, and then stabilizing at around 450k, which hints at the growing propensity for accumulation vs. distribution (i.e., more Bitcoin being held in different wallets instead of moving). The initial drop-off in sending addresses may indicate that selling pressure is easing up. Less than unique addresses are sending Bitcoin, which means that holders may be keeping their stash, expecting the price to go higher. The sharp spike on August 4 could be due to a brief increase in liquidity, possibly due to external events or releases.

The above is the detailed content of Bitcoin (BTC) Price Prediction: BTC Primed for a Massive Bull Run to Shatter the $60,000 Resistance. For more information, please follow other related articles on the PHP Chinese website!