Crypto Experts Identify Critical Requirements for Sustained Bitcoin Price Growth
For BTC to successfully recapture $80,000 as a key support level and maintain its upward trajectory, Bitcoin requires renewed momentum backed by increased trading volumes.
Although Bitcoin's (BTC) recovery rally toward $72,000 seems to be losing steam, market analysts suggest the BTC price could "continue rising" over the near term.
Key takeaways:
- For a confirmed trend reversal, Bitcoin needs to convert the short-term holder realized price at $80,000 into a support level.
- A sustained BTC price breakout requires a recovery in spot volume and overall trading activity.
Reclaiming $80,000 support crucial for Bitcoin
The 8% advance Bitcoin registered during the past three days toward $72,000 enabled it to recover important price levels, such as the 200-day exponential moving average (EMA) positioned at $68,000, along with the 50-day EMA at $70,000, which now serves as a support zone.
"$BTC is currently in a buy wall zone. The current zone is a support zone," analyst CW8900 stated in a Thursday post on X, pointing to the range spanning $67,700 to $70,000.
The optimistic scenario for BTC currently depends on breaking through a resistance barrier situated between $72,000 and $73,000, a zone where market participants accumulated approximately 386,100 BTC during the previous three months.
"There is a sell wall up to $73K," CW8900 noted, adding:
"It must break through this sell wall to continue rising to $75K."
Analysis from Glassnode's risk indicator identifies another significant resistance zone positioned at higher levels between the true market mean of $78,000 and the short-term holder cost basis sitting near $80,000.
"Until price reclaims this level, the mid to long-term bias remains tilted to the downside, as any rally into this zone is likely to encounter meaningful distribution pressure from recent buyers seeking to exit at or near breakeven."
According to previous Cointelegraph coverage, bulls need to achieve a decisive breakthrough above the $76,000-$80,000 range for trend change confirmation.
Bitcoin transfer volume declines 50%
Current market conditions indicate a cooling-off period, evidenced by declining Bitcoin onchain transfer volume alongside reduced spot trading volume.
Onchain transfer volume's seven-day moving average has experienced an approximately 50.5% decline to 660,000 BTC as of Thursday, down from 1.36 million BTC recorded less than 30 days prior.
Furthermore, spot market activity continues to show weakness, with the 30-day spot relative volume measured across all exchanges remaining subdued beneath 1.0, substantially below the cyclical highs observed during the most recent bull market phase.
This disparity further highlights the absence of speculative momentum necessary for pushing prices to elevated levels.
Data visualization below displays only a modest increase in spot volume activity, falling short of indicating any substantial resurgence in market participation.
"Until spot demand picks up, rallies are likely to feel fragile, with limited follow-through," Glassnode stated, adding:
"A clear expansion in volume would signal stronger conviction and a healthier foundation for continuation."
Previous Cointelegraph reporting highlighted that both spot and derivatives markets are transitioning into recovery mode, with Bitcoin's spot net volume delta alongside taker cumulative volume delta gradually returning to positive territory.