In late March, Bitcoin dropped by 6.8% from $87,241 to $81,331, losing a significant portion of its recent growth. Despite the recent decline, four key indicators suggest Bitcoin is in a good buying range. The data shows that the largest digital currency still has considerable growth potential. The first indicator is the increase in Bitcoin network hash rate, reaching its all-time high of 856.2 million terahashes per second on March 28. The growth in hash rate indicates miners are optimistic about Bitcoin’s future. The second key indicator is the decrease in Bitcoin reserves on exchanges, hitting a six-year low with only 2.64 million BTC held. The decrease in exchange reserves reflects investors’ inclination to hold assets rather than sell, which usually leads to price increases. The third indicator is the organizational adoption of Bitcoin. Recently, mining company MARA announced plans to sell $2 billion of its shares to increase its Bitcoin reserves, similar to GameStop’s decision to add Bitcoin and stablecoins to its investment portfolio. Lastly, the decrease in selling pressure in the Bitcoin market is another positive sign. Bitcoin inflows to exchanges have dropped by around 64% compared to November 2024, reaching the lowest levels in the past two years. This supply decrease increases the likelihood of price growth in the coming months. With positive indicators like hash rate increase, decrease in exchange reserves, organizational adoption, and reduced selling pressure, Bitcoin still has significant growth potential. Although Bitcoin is currently experiencing a short-term downtrend, these factors indicate a long-term upward trend. You can track the prices of all tokens and cryptocurrencies live on the momentary price page.
