Bitcoin (BTC) climbed 3% over the past 24 hours to a monthly high of $97,822 after trading below the $95,000 level for well over a week, according to CryptoSlate data.

As of press time, the flagship crypto was trading at $97,029.

The recovery movement comes despite old whales continuing to realize profits, which has led to significant sell pressure in recent weeks, as highlighted by CryptoQuant CEO and founder Ki Young Ju.

Ki explained that over-the-counter trading desks register a high volume of negotiations while exchange deposits rise. These are common signs of short-term negative price variations. However, he believes these market movements are insufficient to cause a crash.

According to Ki: 

“Buying pressure is mainly from U.S. institutions on Coinbase, but daily premium is at a 2-year low. Needs recovery for the next leg up.”

After registering a new all-time high above the $108,000 price threshold on Dec. 17, BTC started a retracement that stopped at $91,816.86 on Dec. 30. Since then, Bitcoin has been slowly recovering towards the $100,000 zone.

To the trader identified as Rekt Capital, this movement is expected. In late December, he pointed out that Bitcoin usually faces retraces from seven to nine weeks after it enters the price discovery zone.

Recently, he highlighted that the ninth week is slowly ending, which would allow BTC to regain its upward momentum based on previous price cycles. The trader explained:

“BTC is offering more confirmation for additional downside than reasons to be bullish for the moment. Once Bitcoin clears its historically corrective Weeks 7, 8 & 9 in Price Discovery – the opposite will be true.”

Cooling off period

CryptoQuant’

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Author: Gino Matos