Noting an ascending channel that has been going on for 6 years last week, crypto analyst @CryptoJelleNL updated its short-term forecasts. The analyst points to a critical level for a 2x price increase in BTC price.
Jelle points out the reverse shoulder-head-shoulder pattern on the Bitcoin chart
Crypto analysts with 43 thousand taqlis drew attention to the shoulder-to-shoulder “TOBO” formation on the Bitcoin chart on Twitter on July 28. This pattern suggests a 100% increase from the current BTC price.
For this rally, which will coincide with the $58,000 level, Bitcoin must first break the resistance zone between $30,500 and $32,000. According to the analyst, bulls who will step in after this will have the opportunity to increase the BTC price by 2x. The formation in question looks like this on the technical chart:
This #Bitcoin Head & Shoulders pattern has a target of $58,000.
Needs to break the resistance ahead — and we can get moving. pic.twitter.com/9H4Dj4jC0w
— Jelle (@CryptoJelleNL) July 28, 2023
Do investors support a potential rally?
Meanwhile, IntoTheBlock’s current analysis showed that individual selling pressure was responsible for BTC’s failure to exceed $30,000. However, another group of investors could also be the reason for BTC’s sideways movement over the past few days.
According to the report, long-term ones have been in healthy savings in the last 12 months.
1/ Long-term holders are persistently accumulating Bitcoin. The amount of $BTC held by short-term holders (<12 months) is currently less than prior to the 2021 bull run and continues to decrease. An increase in short-term holders has often coincided with surging prices #BTC pic.twitter.com/x5Ek9UhuqT
— IntoTheBlock (@intotheblock) July 28, 2023
For short-term investors, BTC is supporting the bulls when it is above $30,000. IntoTheBlock’s analysis revealed that these investors contributed $30,000 to the rally.
Whales suppress Bitcoin rallies
The focus on short-term investment has had a notable impact on the market, especially looking at BTC’s recent performance. This was largely because the selling incentive and the prevailing FUD could influence further selling pressure, especially on the individual side.
However, whales have the biggest impact on the price, and as it turns out, a significant number of whales have been selling their BTC over the past four weeks.
In the meantime, it should be noted that whale addresses have recently dropped to their lowest levels in the last four weeks. Meanwhile, addresses holding more than 1,000 BTC have bounced back slightly. Those holding more than 10,000 BTC have flattened out over the past few days. This means that the selling pressure is increasing. It also explains why the selling pressure that the leading crypto experienced last week has eased.
The whales did not show any significant signs of accumulation after the recent exits. This is because the market lacks another catalyst to trigger the next bullish wave. Also, some concerns were specifically related to crypto regulations in the US.
Jelle targets $175,000 long term
Pointing to $30,500, $32,000 and then $58,000 for the short term, the analyst expects 6-digit prices in the longer view. As we have quoted as Kriptokoin.com, it drew attention to an ascending channel that has been going on for 6 years in its analysis last week.
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