Although Bitcoin, which hit a historical peak of over $73,000 in March, recently surpassed $70,000 and recorded a rise for the first day of the week, it later returned to its accustomed trading range. This horizontal trend continues a trend that has continued for the last two months. Bitcoin, the largest cryptocurrency by market cap, is currently trading around $69,200, representing a 2% increase over the past 24 hours. Ethereum’s Ether remains stable at just under $3,800. The broader crypto market gained 1.6% in the last 24 hours.

“This correction period now appears to be coming to an end,” Bitfinex analysts wrote in a market update published on Monday. he said. According to the report, one of the main reasons for Bitcoin’s decline from its all-time high was selling by long-term investors. However, analysts point out that blockchain data shows that these investors have started accumulating Bitcoin again for the first time since December 2023.

This may indicate a transformation in investor sentiment. Despite the stagnation in prices, it seems that the number of addresses accumulating new Bitcoin and Ether has increased in the last month. This is another positive development that shows that interest in the cryptocurrency market continues and potentially bullish expectations increase.

However, there are some significant hurdles ahead for Bitcoin. Crypto analysis company Swissblock states that the $70,000 and $73,000 levels constitute important resistance points in Bitcoin’s price movement. “Short-term pullbacks are currently viewed as buying opportunities, with the $67,000 level proving to be a reliable support level,” Swissblock said in its report. It includes the statement.

The coming week may witness important developments for the crypto market. Both the release of inflation data and the Federal Reserve meeting have the potential to increase volatility in the market. Joshua Lim, co-founder of crypto derivatives trading firm Arbelos Markets, said next week could be “an interesting week to watch.” Lim thinks this week’s developments could be effective in determining which direction the Bitcoin price will move.

As a result, the Bitcoin market is showing signs of recovery after the recent decline. The cessation of sales by long-term investors and the entry of new investors into the market are positive developments. However, inflation and the Fed agenda should be followed closely in the coming period, as these factors may cause significant volatility in the cryptocurrency market.