By Franklin Smith
Bitcoin’s adventure below the $20,000 mark could be in the final phase as some economists trusted a respite was imminent.
A CryptoQaunt analyst, BaroVirtual, stated that Bitcoin shared a notable correlation with stocks. He believes the relationship might support BTC’s return to levels beyond $21,000. Meanwhile, such a move can see the leading crypto climbing towards the $24.5K highs.
BaroVirtual’s October 2 post highlighted that the VPO (Volume Depth Oscillator) seemingly overcame the bearish divergence. That should welcome a bullish bounce back.
Bitcoin on Course?
Surprisingly, BaroVirtual could have pointed out some legit points, considering similar stances from exchange reserve signals.
Nevertheless, it appeared that the projection had more than meets the eye. Exchange stats indicated that more Bitcoin enthusiasts decided that $19,262 represented the bottom. That’s according to Santiment’s exchange data.
The on-chain analytic firm confirmed 63,900 Bitcoin inflows during this publication. That represented an improvement from October 1 and 2. Nevertheless, exchange outflow could not challenge 61,200 BTC highs. Bulls might reclaim market power if Bitcoin keeps its position.
Though the previous 24 hours saw volume increasing by 30%, other factors were present. Santiment observed 34,723 BTC moved from exchanges on October 2.
Generally, this would trigger price upticks. Meanwhile, the ongoing occurrences matched the June 2022 rally. The question lingers, will Bitcoin replicate its June performance?
Any of this Might Be in the Making
Though the discussed data could have triggered excitement within the community, caution remains paramount. Peter Brands trusts Bitcoin boasted a 50-50 survival chance. Recently, he tweeted about keeping his 2018 belief of an impressive surge to six-figure capitulation.
Moreover, the famous BTC proponent Plan B emphasized that debates around Bitcoin being dead were a sham. He trusts that investors have nothing to fear about the current $19K – $20K. However, is there anything to back his claim?
Probably not that much, though the -$656.1M exchange netflow within the past day could have laid some support. Though the ups and downs, some metrics show a more solid outlook was essential to trigger potential price upticks.
Furthermore, the analysts’ signal doesn’t guarantee predicted moves. Market players should consider prevailing market conditions plus a pinch of these projections for potential actions in the coming sessions.