The price of BTC is close to US$46,000, and Bitcoin foreign exchange reserves are lower than in November 2020

Bitcoin (Bitcoin) Maintaining a high low overnight on Tuesday, an analyst believes that this may lead to a sustained recovery.

BTC/USD 1-hour candlestick chart (Bitstamp). Source: TradingView

Analyst: It’s time for the “inevitable” Bitcoin supply shock

Data from Cointelegraph Markets Pro with Transaction view It shows that BTC/USD rose to 46,000 US dollars on Tuesday.

This pair used to Drifting south Before the sudden volatility, Bitstamp’s price fell to a low of $43,380. At the time of writing, these have not been tested and Bitcoin is up about 5.5%.

“This may be the macro HL of BTC. It played a supporting role before,” popular trader Pentoshi Summarize Approximately in the area under $45,300.

“We removed HL from the macro downtrend, and then climbed without any noticeable correction in a few weeks. As long as we are above 41k, we are a bull market. Btc has a way that looks terrible and makes everyone feel surprise.”

Pentoshi has been cautious on Monday, and expect From analysts who demand higher daily lows to maintain overall market strength.

However, overall, there are still a lot of optimism in the long-term.

“Bitcoin foreign exchange reserves are at very low levels. This is a signal that we have more and more holders,” Cointelegraph writer Michaël van de Poppe famous.

“The inevitable will still happen -> a serious upward supply shock, we will rise dramatically.”

Bitcoin foreign exchange reserves chart. Source: CryptoQuant

data On-chain analytics company CryptoQuant confirms that foreign exchange reserves have been hit New multi-year lows This week, it even passed the beginning of the major bull market phase in November 2020.

Altcoins rise as Bitcoin strengthens

Altcoins also painted a more positive picture on Tuesday, with all the top 10 cryptocurrencies rising by at least 3%.

related: Confirmation of bearish pennant breakdown?5 things to watch for Bitcoin this week

They are led by Solana (SOL) and Polkadot (DOT), both of which return close to 10%.

The largest altcoin, Ether (Ethereum), is recovering, more than 3,300 US dollars, but still fell 14% compared to the same time a week ago.

ETH/USD 1-hour candlestick chart (Bitstamp). Source: TradingView