The price of Bitcoin was divided into two halves this week, as the leading cryptocurrency rose to an all-time high. new all-time high The price dropped by 13% about a week later. BTC’s price fell to $92,000 on December 20, Friday.
Bitcoin prices dropped abruptly after the US Federal Reserve cut rates. This also caused other markets to fall into the red. It is important to note that Bitcoin is starting to recover, and is currently trading around $97,000.
How can the growing demand push BTC price back above $100,000?
CryptoQuant, a market analysis platform, released a report on December 20, 2018. revealed A fascinating development on the blockchain with Bitcoin’s supply and demand dynamics. According to the Blockchain firm, BTC seems to have renewed investor interest.
This indicator is called the Total OTC Desk balance, and it tracks how much Bitcoin has been stored in the addresses of Over-The-Counter desks. This indicator provides an indication of the amount of BTC available to institutional and large investors.
Data from CryptoQuant shows that the OTC desks have experienced their biggest monthly inventory drop since 2024. The decline is over 26,000 BTC in December. In the last 30 days alone, the decline was even greater. Since November 20, the inventory balance has dropped by more than 40,000 BTC.
The decline of the Total OTC Desk balance is a positive indicator that reflects both the increasing demand for Bitcoin, and its concurrent shrinking supply. The contracting BTC on the open markets could typically set up a significant period of price appreciation.
CryptoQuant It was noted that Bitcoin’s price rose from $40 000 to $74,000 during the first quarter of 2024 after the demand for the Over-The Counter desks inventory fell. Market intelligence indicates that the OTC desk inventory has begun to approach the level seen in the first quarter rally.
CryptoQuant data shows that Bitcoin demand has been growing steadily at 228,000 BTC per month since entering expansion territory late in September. The accumulation of addresses has also reached a new record of 495,000 BTC a month.
Bitcoin Price in a Glimpse
Bitcoin is trading at $97,655, a drop of 0.1% in 24 hours. According to CoinGecko, the premier cryptocurrency has fallen by almost 4% over a weekly period.
Chart created by TradingView, based on DALL-E’s Featured Image
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Source: www.newsbtc.com
