Key Points
- Bitcoin’s recent surge pushed it past previous all-time highs, indicating potential for new records.
- Increased inflows and accumulation suggest a positive trend, despite potential sell-offs.
Bitcoin [BTC] has recently seen a significant surge that pushed it past its previous all-time highs, setting up the potential for new records.
Data indicates that alongside these considerable price increases, investors have seen increased inflows. This is a signal of a positive trend for the asset.
Increased Accumulation
The recent rise in Bitcoin’s price has coincided with increased accumulation. The volume and balance of accumulation addresses have reached their highest points in a considerable timeframe.
As of the 11th of March, the inflow exceeded 28,000 BTC, and the cumulative balance in these addresses surpassed 1 million BTC. This suggests a growing demand from investors.
Despite this increase in accumulation, some traders have chosen to capitalize on profits. The current week showed greater inflows than outflows, indicating a potential sell-off.
Price Surge and Potential Sell-Off
On the 11th of March, during a significant price surge, over 5,000 BTC entered exchanges. This suggests that holders were depositing more Bitcoin onto exchanges than withdrawing.
This development was not unexpected, considering the recent substantial rise in Bitcoin’s price. Bitcoin concluded trading on the 11th of March at around $71,401.
During that session, BTC’s price briefly surpassed $72,000 before experiencing a decline. This marked the first time in its history that it reached that price range, even if only momentarily.
At the time of this writing, Bitcoin was trading at about $71,850, reflecting a less than 1% increase. Bitcoin’s Relative Strength Index (RSI) demonstrated a convergence, signaling both a strong bull trend and an overbought state for the king coin.
