Glassnode Co-Founders Map Out How Bitcoin (BTC) Can Reclaim Six Figures and More

The co-founders of the blockchain analysis platform Glassnode are laying out how Bitcoin (BTC) can reclaim six figures and more.

Co-founders of blockchain analytics platform Glassnode are detailing how Bitcoin (BTC) could reclaim six figures and continue rallying.

Glassnode and Swissblock co-founders Jan Happel and Yann Alleman, who share the social media handle Negentropic, begin by comparing BTC’s current state to a similar scenario a couple of years ago.

“Let’s look at the period from December 2020 to February 2021, which corresponds to a similar cycle phase and comparable price action.

At that time, the outflow of liquidity coincided with a price correction, but network growth continued. Similarly, when the price stabilized and a new influx of liquidity began, the price rebounded strongly.”

According to Negentropic, liquidity could be the key factor in a Bitcoin price pump.

“This suggests that we could potentially see a price pump once liquidity flows back into the market and the price does not drop to lower levels as long as network growth remains in bullish territory.”

In a follow-up Swissblock post, the market intelligence firm suggests that profit-taking needs to calm down for BTC to continue its ascent.

“Profit-taking above $90,000 and near $100,000 has continued among market participants (no surprise, as long-term holders continue to take profits). However, this selling pressure is slowly decreasing in intensity.

For price momentum to continue within the bullish territory, profit-taking must stabilize, and we need to avoid large volumes of selling that create spikes on the chart.”

BTC is trading at $92,077 at the time of writing, down 1.7% on the day.