Bitcoin on-chain signals indicate that sentiment has moved towards the positive side, with social media conversations increasingly focusing on the possibility of the asset moving above $90,000.
At the time of writing, Bitcoin is trading at $76,638, with a 24-hour trading volume of $35.77 billion and a total market value of $1.54 trillion. The BTC has recorded a 0.66% increase over the last 24 hours.
Source: CoinMarketCap
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Bitcoin Sentiment Turns Increasingly Bullish
From the information that was provided by Santiment on April 29, we can see that there is an increase in the number of bulls who believe that the price will go up during the past week. This can be evidenced by the number of references regarding bitcoin targets above $90,000-$99,000.
Meanwhile, the price is at lower levels, particularly in the bracket of $50,000 to $59,000. This indicates a weakening of fear-driven expectations.
Source: Santiment’s X Post
In general, it is observed that whenever there is more talk about lower prices, this is normally associated with periods of caution and stockpiling. However, as optimism rises rapidly, there will be a greater demand for higher prices, which could sometimes trigger sudden price changes due to expectations running ahead of reality.
Even as the price of Bitcoin stays under $90,000, there are still more targets seen higher on the Internet. In previous cycles, this discrepancy has resulted in brief pull-backs when overly bullish positions were corrected. However, it is notable that there is less bearish talk, suggesting a lack of downside support.
Bitcoin Breaks Trendline as Momentum Fades
In addition to the on-chain indicators, the technical setup appears to be deteriorating. Crypto analyst Ali Martinez noted that Bitcoin managed to break down the ascending trendline on the 4-hour time frame. The mentioned trendline was formed by creating higher lows on multiple occasions.
Source: Ali Martinez’s X Post
The breakout indicates that upward momentum is not present at the moment, as BTC is trading in the region of $76,500. Breakdowns are typically seen as early indications that a reversal or consolidation period may be occurring.
Some of the significant levels to watch out for are the $75,000 level, which is acting as immediate support. Failure of this level can lead to further declines in the price. In an effort to move upwards, a break above the $79,000 level would also prove to be significant.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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