After a slight dip, the Bitcoin price has surged back above $97,000, sparking optimism among crypto enthusiasts. However, despite this positive momentum, BTC traders seem to remain cautious, indicating a lingering bearish sentiment in the market.
Bitcoin Traders Show Bearish Sentiment Despite Price Recovery
A recent post by crypto analyst Ali Martinez revealed that Bitcoin traders are leaning towards a bearish outlook, even as the price of BTC climbs above $97,000. The percentage of traders on Binance betting on a price increase has dropped from 66.35% to 55.22% within the past 24 hours, signaling a shift in sentiment.
This change is significant as Binance traders have a track record of accurate predictions. While a majority (55.22%) are still optimistic about Bitcoin’s price movement, the decrease in bullish bets suggests that the recent uptick may not necessarily indicate a sustained upward trend.
Despite the recent rally pushing Bitcoin above $97,000, there is lingering uncertainty in the market. Some traders are hesitant to bet on further price appreciation, possibly due to macroeconomic factors such as the Federal Reserve’s reduced quantitative easing measures.
On a more positive note, the incoming administration of Donald Trump has sparked optimism among market participants. Trump’s proposal to establish a Strategic Bitcoin Reserve could potentially boost BTC adoption and market confidence.
Shift in BTC Market Structure Indicates Potential Bull Run
Another crypto analyst, Trader Tardigrade, has highlighted a shift in Bitcoin’s market structure from a downtrend to an uptrend. The formation of an equal high amidst a series of lower highs and lower lows suggests a change in market dynamics.
With Bitcoin breaking through resistance levels and forming higher highs, Trader Tardigrade predicts a potential bull run if BTC maintains a higher low at the $96,000 support/resistance flip level. The analyst’s chart indicates a path for Bitcoin to reclaim $100,000 and reach new all-time highs.
Currently, Bitcoin is trading around $97,300, marking a 2% increase in the last 24 hours according to CoinMarketCap data.
Featured image created with Dall.E, chart from Tradingview.com