The latest market analysts issued mixed views on the Bitcoin (BTC) price market. Ali Martinez, a popular crypto analyst, sounded a cautionary warning after he observed a sell signal on the Bitcoin price chart. Additionally, he hinted at the possibility of a price correction for BTC.
In a recent tweet on X, Martinez highlighted the emergence of a sell signal on the 12-hour chart, based on the Sequential TD indicator. Furthermore, he stressed the importance of traders being careful. At the same time emphasizing the importance of Bitcoin's ability to maintain the support level above the $65,500 level. This means that if BTC breaks below this level, a major correction may occur.
Contrary to Martinez's observations, Willy Woo, an experienced analyst, offers a more optimistic view on the price of Bitcoin. Woo points out that historical data factors in Bitcoin's monetary inflation rate, which has now slipped below gold. Additionally, the analyst speculated on the potential for Bitcoin market capitalization to surpass gold, in line with the stock-to-flow thesis.
However, Woo tempered his bullish outlook by acknowledging internal lag in Bitcoin's adoption curve. The analyst cited factors such as storage infrastructure, regulatory clarity, and institutional acceptance as important determinants of Bitcoin's long-term valuation.
Adding to the dynamic narrative surrounding Bitcoin's price action, the recent resurgence of ETF inflows has caught the attention of market watchers. Following the Halving event on April 19, which effectively reduced the daily production of new Bitcoins to 450 BTC
Bitcoin ETFs have emerged as significant buyers in the market as they hold more Bitcoin than daily mining production. This trend reached its peak in three consecutive days where the ETF gained over 100% of the amount of BTC mined after the Halving. Further, since last Friday, net purchases of Bitcoin ETFs totaled 2,177 BTC, further accelerating the supply shock in the market.
Regarding the outflow from the Grayscale Bitcoin Trust (GBTC), the purchases constituted a huge amount of 4,468 BTC. This institutional demand has the potential to spur Bitcoin price gains in the near future. Therefore, the impending price drop can be mitigated.
Bitcoin price has surged above $67,000 recently but failed to maintain momentum. At the time of stress, the price of BTC showed a gain of 0.63% and was trading at $66,069.01 with a market capitalization of $1.31 trillion on Wednesday. However, 24-hour trading volume declined by 4.21% to $23.85 billion.
