"This is an Accumulation Phase"...Bitcoin, if it crosses 'here', goes straight to $88,000

▲ Bitcoin (BTC)/AI generated image

Analysis is gaining traction that Bitcoin (BTC) is confirming strong support in the $78,000 range and building a foundation for entering the next bullish phase.

Crypto YouTube channel Lark Davis, in a video released on April 24 (local time), synthesized market outlooks from key experts and diagnosed that Bitcoin is at the beginning of a mid-to-long-term upward trend. Jurrien Timmer, Director of Global Macro at Fidelity, which manages $7 trillion in assets, stated, “Bitcoin has recovered the $78,000 level, showing a significant rebound. The current phase is a process of building a support base for the next upward wave.” His forecast, which accurately pinpointed the bottom near $60,000 in the past, is highly trusted in the market.

Technical trends also lean towards an upward possibility. Tony Severino analyzed that a Morning Star pattern is forming on the monthly chart. This pattern is a representative reversal signal that also appeared during the bottoming phase in 2022. The weekly Relative Strength Index (RSI) showed a rebound signal by moving out of the oversold zone, and the Moving Average Convergence Divergence (MACD) also raised the possibility of forming a golden cross. The outlook is that if Bitcoin breaks above $79,000 based on the daily closing price, there could be room to rise to $88,000.

Institutional fund inflows are also acting as a key factor supporting the downside. Eric Balchunas, Senior ETF Analyst at Bloomberg, recently stated that Bitcoin spot ETF fund flows have turned into net inflows across all tracking periods. BlackRock's IBIT maintains its position in the top 1% of the ETF market, demonstrating robust demand. The possibility of additional purchases by companies like Strategy also stimulates market expectations. Continuous fund inflows through ETFs mitigate volatility and strengthen upward momentum.

The macroeconomic environment also continues to be favorable. US manufacturing and services Purchasing Managers' Indices (PMI) surpassed market expectations, indicating an economic expansion phase. There have been repeated instances where the cryptocurrency market showed strong upward trends when the ISM PMI exceeded 50. Signs of a shift in the gold-to-copper ratio suggest a potential movement of funds from traditional assets to risk assets. The current economic cycle provides conditions that can sustain an upward environment until late 2026 to early 2027.

Signs of change are also being detected in the Ethereum (ETH) and altcoin markets. Ethereum has broken through its downtrend line and is attempting to reclaim the $2,400 resistance level. Although Arthur Hayes mentioned the possibility of a change in Ethereum's position due to the rise of AI-related assets, long-term bullish expectations remain in the market. Meme coins like PEPE are also stimulating investors' risk appetite with their high return potential.

With expanding overall market liquidity, institutional fund inflows, and technical reversal signals aligning, Bitcoin is continuously being assessed as having entered an accumulation phase, preparing for the next upward wave.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*