On Friday, January 18th, Bitcoin price surged by 4.4%, reaching $104,443 amid growing bullish sentiment driven by anticipation of Donald Trump’s presidential inauguration on Monday, January 20th. This renewed momentum has sparked significant whale buying, signaling the end of Bitcoin’s 60-day accumulation phase and its potential for further recovery.
According to CoinGecko, the global crypto market cap is at $3.8 Trillion and the 24-hour trading volume is at $209.5B.
Key Highlights:
- The Bitcoin price bounced multi-time from the $90k floor, indicating a high-accumulation zone for crypto buyers.
- A recent breakout from the continuation pattern ‘Pennant’ hints at the end of the current correction trend.
- The BTC price rally activity bolstered by whale accumulation signals the potential for a higher rally.
Record Whale Activity Sparks Bullish Momentum for Bitcoin Market
The cryptocurrency market is witnessing significant whale activity, particularly on Binance, where large holders are dominating like never before. According to data from CryptoQuant, the Exchange Whale Ratio has spiked, indicating substantial movements of Bitcoin by whales. Analyst João Wedson notes that such activity could signal preparations for large-scale buys or sells, a development that could influence broader market dynamics.
Adding to the bullish sentiment, the number of wallets holding at least 100 BTC has risen to 17,799, marking the second-highest day of such accumulation since December 2017.
Such a significant surge in whale activity often acts as a catalyst for major price movement and bolsters bullish sentiment in the market.
Bitcoin Price Nearing Next Major Breakout
Over the past two months, the Bitcoin price showcased a consolidation trend ranging from $108,364 and $91,500. With the sideways trend, the coin price displays the formation of a well-known continuation pattern called pennant.
Generally, the pattern drives a temporary counter-trend move for buyers to recuperate the exhausted bullish momentum. In the last five days, the BTC price surged swiftly from $89,160 to $104,400, registering a 17.5% surge.
This upswing records a significant breakout from the pennant’s resistance trendline, signaling the continuation of the prevailing trend. With sustained buying, the Bitcoin price should flip the $108,364 barrier to potential support and drive towards $130,000.
However, pioneer cryptocurrency could delay the anticipated rally if sellers continue to defend the overhead resistance.
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