Bitcoin & Altcoins Show Bottoming Signs: Is a Bull Run Next?
• Bitcoin and select altcoins have risen above stiff overhead resistance levels, signaling that the bottoming process may have begun.
• On-chain analytics firm Glassnode suggests that the foundation for a macro bottom in Bitcoin may be in place.
• Traders should keep a close eye on the price action for a sequence of higher highs and higher lows, which may indicate a bullish sentiment.
Bitcoin and altcoins have recently seen a surge in prices, indicating that a bottoming process may be taking place. On-chain analytics firm Glassnode recently tweeted that 13% of the Circulating Supply of Bitcoin returned to profit when the price of BTC rose to $18,200. This suggests that a large phase of accumulation took place in the $16,500 to $18,200 range.
Meanwhile, Ether is also showing signs of accumulation, with the number of Ether sharks, those holding between 100 and 10,000 Ether, rising by 3,000 since November 22, according to Santiment data.
As traders look to capitalize on this trend, they should keep a close eye on the price action. A sequence of higher highs and higher lows may signal a bullish sentiment, and traders may be able to capitalize on this trend.
It is important for traders to remember, however, that a new bull market may not start in a hurry. Even with positive indicators, such as the above mentioned data from Glassnode and Santiment, investors should remain cautious and only invest what they are willing to lose. With the right strategy and risk management, traders can take advantage of the current market conditions and capitalize on the upswing.