Bitcoin Continues to Stay Strong: What Does the USDT Supply Indicate for BTC Price?

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• Bulls continue to make strong moves as indicated by many on-chain metrics, setting their eyes on $40,000 and beyond.
• According to on-chain data provider Santiment, Bitcoin price reached $38,300 for the first time since May 5, 2022.
• Popular crypto platform Greeks.Live reported that Bitcoin has risen after the monthly delivery, surpassed the $38,000 threshold, and reached a new high for the year.

While Bitcoin remains strong, the significant correlation seen in Bitcoin and USDT addresses suggests that the price could continue to rise: Current on-chain data!

Bitcoin Stays Strong, USDT Supply Situation

Bitcoin, BTC price rose once again by 1.5%, reaching levels around $38,000 today. Bulls continue to make strong moves as indicated by many on-chain metrics, setting their eyes on $40,000 and beyond. In the last six months, the largest 100 Tether wallets collected over $1.67 billion worth of USDT tokens, indicating a 10% increase in buying power during this period.

According to on-chain data provider Santiment, Bitcoin price reached $38,300 for the first time since May 5, 2022. This increase is attributed to various factors, with a significant contribution coming from the largest 100 Tether (USDT) addresses that added a total of $1.67 billion in the last six months.

The increasing buying power of these USDT whale addresses indicates a bullish trend, and if this momentum continues, analysts predict the possibility of Bitcoin surpassing $40,000 in the near future.

Popular crypto platform Greeks.Live reported that Bitcoin has risen after the monthly delivery, surpassed the $38,000 threshold, and reached a new high for the year. This upward movement also contributed to the recovery of Dvol, which dropped to 51% after the delivery but has now returned to the last average of 54%.

Currently, market sentiment regarding the possibility of approval of the exchange-traded fund (ETF) in the first quarter of next year is quite optimistic. Skew’s significant positive trend that has been ongoing for over a month is consistent with market expectations. Investors are advised to consider each dip as an opportunity to increase their positions until the ETF is officially adopted.

Bitcoin Price Movement

The rising momentum of Bitcoin is encountering resistance around the $38,000 level, but subsequent declines have been short and mild, indicating continuous demand from buyers looking for opportunities during price consolidation.

This pattern forms a rising triangle characterized by horizontal upper resistance (around $37.8K) and rising lower support, indicating shallow pullbacks. The shallow nature of the recent declines indicates increasing bullish sentiment, and analysts like Alex Kuptsikevich from FxPro expect a potential breakout above $40,000, considering the rising triangle formation. However, the question is how soon this can happen.