In the wake of the Terra Luna and FTX catastrophe, the Bitcoin market and cryptocurrency sector have suffered in 2022. With Bitcoin trading below the $17,000 mark, many analysts, investors, and Bitcoin enthusiasts have hopped on the bandwagon and are setting their year-end targets for the king coin.
According to Vince Prince on TradingView, there are major signs that will lay the cornerstone for the growth of the Bitcoin price movement going ahead until 2023. He said that Bitcoin is trading in a major parallel channel formation which is inclined towards the upside and has resistance inside the higher boundary and support inside the lower boundary.
“Once the final confirmation has settled the percentage height of the channel formation can be used as a measurement to the final target zone of the breakout this will result in a target of $18,000 when the bullish breakout settles and a target of $14,000 when the bearish breakout settles,” he explained.
On-chain data hints at an impending rally
According to on-chain research company Glassnode, the percentage of bitcoin supply held by retail traders has increased to 17 percent, or roughly 3.57 million, in 2022. Despite the underlying BTC value trading 75% below the ATH, the number of individual users globally is increasing, according to the data.
Glassnode classifies Bitcoin addresses with less than 10 BTC as retail traders. The use of Bitcoin by regular traders has increased dramatically over time, ensuring the longevity of the cryptocurrency industry.
Co-founder of ReflexivityRes Will Clemente believes that the Bitcoin price is moving in the correct direction.
“The percentage of Bitcoin supply held by retail has soared to 17% this year. Not perfect yet, but solid for a 12-year-old asset and definitely trending in the right direction. Bitcoin’s supply disperses over time, while Fiat’s holder base concentrates to whales over time,” he said.