Bitcoin (BTC) Price Forecast: $60k Reverse or $70k Rebound?

Insights:

Bitcoin (BTC) price consolidated within the $64,500 – $64,900 narrow channel on Thursday April 25, 2024. With BTC underperforming, investors have been spotted flooding the market supply reserves this week, potentially to shift focus towards the raving altcoin and memecoin markets. 

Can Bitcoin bulls prevent a rapid price downswing toward $60,000 in the days ahead?

Altcoins Have Outperformed Bitcoin Since Halving

Bitcoin’s 4th Halving event was executed on April 20, to global acclaim and fanfare that cut across both TradFi and crypto media. But curiously, BTC price action has not caught on to the media traction.

Wary of a post-halving crash, investors have maintained a skittish position on BTC while leaning heavily towards the altcoin markets for short-term gains.

At the time of writing, 5-days from the halving, Bitcoin price has only moved 8.6% from $59,960 to $64,665. But as depicted in the TOTAL2 chart above, the global altcoin markets have outperformed BTC, surging 11.91% since the Bitcoin halving date.

Investors Shift 10,000 BTC into Market Supply in 5-days

With the altcoin markets having out performed BTC since the halving date, recent on-chain movements suggests that more Bitcoin holders are now looking to exit in the coming days.

CryptoQuant’s Exchange Reserves data shows the number of BTC coins currently deposited across crypto exchanges and trading platforms, potentially for short-term exit opportunities.

As seen above, total Bitcoin exchange reserves stood at 1.92 million BTC as of April 23.

But within the last 48 hours, investors have deposited an additional 10,000 BTC into trading platforms, bringing the total exchange reserves to 1.93 million at the time of publication on April 25.

The suggests that after, nearly a week of sideways price movement, many BTC swing traders are looking to exit, possibly to ape-in to the better performing assets in the altcoin markets.

Without a significant upward move in the coming days, the selling pressure from swing traders seeking short-term profits could send BTC price spiraling towards $60,000.

Bitcoin Price Forecast: All Eyes on $63,000 Support

Drawing insights from the superior altcoin markets returns and rising BTC supply on exchanges, Bitcoin price is not likely to witness a parabolic upswing toward $70,000 in the coming days.

If swing traders continue to exit BTC and hop into the altcoin markts, Bitcoin bears could attempt to force a reversal towards the $60,000 territory.

However, IntoTheBlock’s In/Out of the Money data shows that BTC can count on the looming buy-wall at $63,000 for initial support. If that support level caves, a reversal towards $60,000 could be on the cards.

On the flipside, if Bitcoin witnesses a considerable market demand surge, the bulls could set sights on the $70,000 milestone.