During Wednesday’s U.S. market hours, the crypto market witnessed renewed buying pressure as Bitcoin price broke $90,000. The bullish momentum followed the U.S. Consumer Price Index (CPI) report, which showed a YOY increase of 2.6%. Analysts predict the BTC price rally will extend past $100,000 as miners’ profit-booking projects are an early sign of a bull cycle.
With crypto market today, the BTC price had traded at $91,022, with an intraday gain of 3%. According to Coingecko, the asset’s market cap surged to $1.8 Trillion, while the 24-hour trading volume wavers at $102.60 Billion.
Analyst Links Miner Activity to Bitcoin Price Rally to $100K
In a recent tweet, an analyst named Avocado_onchain highlights an interesting correlation between the Bitcoin price rally and miners’ profit booking. His analysis emphasizes that miners temporarily shut down mining operations after each BTC cycle or sell some of their Bitcoin holdings to secure operating funds.
As the BTC price continues to reach new heights, the Miner Position Index (MPI) records a recent spike, indicating increasing Bitcoin outflows from miners’ wallets. While this profit-taking often coincides with major market tops, the relatively lower volume suggests ample room for further growth.
Bitcoin’s hash rate and mining difficulty are at all-time highs, signaling robust network growth and miner participation.
Thus, the Bitcoin price is far from its top and could offer a decisive breakout from the $100,000 psychological barrier.
BTC Price Analysis Hints Final Dip Before a Rally to $100k
In the last ten days, the Bitcoin price prediction showcased a significant surge from $66,800 to $91,500, registering a 36% growth. This rally gave a decisive breakout from the asset’s seven-month consolidation carried by a flag pattern formation.
This pattern is typically observed between an established uptrend, offering a temporary pause for buyers to revive exhausted bullish momentum. If the pattern holds true, the BTC price is poised to surge another 10% and hit a high at $102,000.
However, no trend remains in a financial asset, and Bitcoin price could soon enter a temporary pullback to test key support levels. The Average Directional Index (ADX) spiked to 35%, indicating the buyers could soon hit exhaustion and may seek support at daily EMAs such as 20 and 50 to regain buying pressure.
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