Bitcoin Consolidates Above $120,000 Amid Signs of Supply Activity Shift

Bitcoin's price surged to $117,000, forming a low-density accumulation zone, with analysts warning of potential support failure leading to a bottom formation.

BTC

Summary

Bitcoin's price recently rose from $110,000 to $117,000, establishing a low-density accumulation zone. Following its all-time high of $122,600, Bitcoin remains above this zone, but failure of this support could lead to a bottom formation, according to Glassnode's report.

Terms & Concepts
  • % Supply Active: A metric indicating the percentage of Bitcoin supply that has been active in transactions over a specified period, often used to assess market dynamics.
  • SMA (Simple Moving Average): A statistical calculation that averages a set of data points over a specified period, commonly used in technical analysis to identify trends.
  • macro cycle: A long-term trend in the market that reflects broader economic conditions and investor behavior.