Bitcoin Indicators Point to Possible Inevitable Break Above $40K Resistance

Bitcoin has been rejected several times after a push north of the $40,000 mark. At the time of writing, BTC trades at $36,621 with a 3.2% profit in the daily and a 31.9% in the weekly chart. The sentiment is growing bullish, as Bitcoin continues to tackle the important resistance at key levels. In addition, data from CryptoQuant points towards bullish indicators. Despite an increase in BTC inflows to exchange platforms, most of the selling seems to be absorbed by strong buyers. As a consequence, the Bitcoin spot reserves on exchanges are on a downtrend, as the chart below shows. CryptoQuant claims that this is the “highest outflow level” since Bitcoin has been testing the lows of its current range, around $29,000, and the high levels at $40,000. Therefore, it is possible to assume that BTC’s price could find enough support for a fresh leg-up into previous highs. On the first pullback after breaking through $30,000 earlier in the year, there was the same peak in outflow volume on the exchanges. We need to see as price breaks new resistance up to the last historial top (…) This data also suggests that the price could reclaim the previous high without “great demand”, CryptoQuant said. There were similar BTC outflows in mid-July, but the report attributed it to an internal transaction. The recent spike is even higher than the previous outflow indicating Clearly big players capitulating to liquid...