- Bitcoin and major cryptocurrencies are trading sideways, hinting at potential stagnation despite recent price rebounds.
- Increased institutional demand is highlighted by significant inflows into BTC ETFs and the trading of BTC and Ether funds on the London Stock Exchange.
- Long-term projections remain optimistic, with expectations of mass crypto adoption and transformative tokenisation of real-world assets.
Bitcoin, Ethereum and most major crypto assets continue trading in a sideways motion without a clear indication of a breakout.
Related: Healthcare Firm Semler Scientific Buys $40m BTC, Adopts Bitcoin as Primary Treasury Asset
Analyst RektCapital suggests that despite the rebound in Bitcoin’s price, it might be forming a local top, indicating a potential stagnation and that BTC will “likely continue consolidating between ~$60000 & ~$70000”.
This comes despite some analysts pointing toward an increase in supply pressure. Bitcoin and Ethereum funds continue to be a hot topic, indicating increased institutional demand, as all global Bitcoin ETFs now hold 5% of the BTC supply.
Additionally, the London Stock Exchange is seeing Ether and BTC funds commence trading. And inflows into US BTC ETFs saw close to US$1 billion in inflows last week, as Farside shows.
Analysts Say Long-Term Outlook Bullish Based on ETFs, RWAs
Analysts like Dennis Liu and Michaël van de Poppe think that despite the current price action the long-term outlook is immensely positive. Van de Poppe said on platform X that a mass adoption is coming to crypto.
He based his observation on the tokenisation of real-world assets which is seen as transformative by many, even BlackRock CEO Larry Fink.
Liu agrees with that sentiment, adding that most are not ready for what’s to come:
Analyst Willy Woo said that the “2.5 months of consolidation under bullish demand has been very good for Bitcoin, it means price has more room to run before topping out”.
He indicates that the Bitcoin price level of US$73K (AU$109.6K) is a significant barrier that has been difficult to surpass – a “formidable resistance” as he calls it.
He said that if the price can rise above US$72K (AU$108.1K), there is a substantial number of pending liquidations that could rapidly drive the price even higher. This phenomenon, known as a “short squeeze”, could quickly push the price of Bitcoin to exceed US$75K (AU$112K) and potentially set new record-highs, he believes.
Woo added that it is only a matter of time before “fundamental demand” – or underlying market forces driven by actual usage, adoption, or investment demand – triggers a price squeeze. This implies a bullish outlook, suggesting strong and sustained buying pressure will eventually overcome resistance levels and lead to higher prices.
Get the most important crypto news delivered to your inbox by subscribing to the CNA newsletter
Source:
https%3A%2F%2Fcryptonews.com.au%2Fnews%2Fis-bitcoin-running-out-of-steam-willy-woo-disagrees-says-btc-set-for-new-all-time-high-121215%2F