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The price of Bitcoin has reached Now breaking above $68,000 Mark in the middle of run A 12% increase in prices In the past seven days. However, the analysis says that the price of Bitcoin This boom will not be stopped at any time almost. According to a detailed analysis published on TradingView, a well-known cryptocurrency analyst shared insights suggesting that Bitcoin is on track to go higher to reach an ambitious target of $95,000, but USDT.D needs to break the lower limit of the triangle. Firstly.
An interesting look at Bitcoin price forecasts
The analyst in question, known as TheSignalyst, takes an unconventional approach to analyzing Bitcoin’s price movement by relying on a lesser-known but interesting metric.
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According to To TheSignalystthe USDT.D chart, which tracks the dominance of the stablecoin Tether (USDT) in the cryptocurrency market, efficiently tracks the overall sentiment of the cryptocurrency market. Although not widely used by major analysts, this metric has proven useful in forecasting market tops, bottoms, and future price movement.
According to the USDT.D chart, USDT dominance has been exercising a descending triangle pattern since the first days of August. Since this period, USDT’s dominance has ranged between 6.5% and 5.34% of the total cryptocurrency market capitalization at the time of writing. As the analyst noted, as long as USDT dominance remains within the descending triangle, Bitcoin price will likely continue to consolidate in some range.
However, TheSignalyst adds that for Bitcoin to truly enter an uptrend, USDT’s dominance needs to break down. Specifically, the price must fall below the lower limit of the descending triangle and fall below 5.2% of the total cryptocurrency market capitalization.
What does this mean for the price of BTC?
As the largest stablecoin, USDT’s dominance can reveal a lot about the sentiment among cryptocurrency traders. High periods of USDT dominance indicate that investors are withdrawing from riskier assets and putting their money into stablecoins, while low USDT dominance indicates inflows into cryptocurrencies.
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In the case of TheSignalyst’s analysis, a break in USDT’s dominance below 5.2% would signal reduced reliance on the stablecoin and a renewed appetite for riskier assets, paving the way for Bitcoin to embark on a more aggressive upward trajectory.
According to the analyst, if this scenario unfolds, it could enable Bitcoin price to cross the $70,300 mark in the weekly time frame. This level lies above the downtrend line that has halted Bitcoin’s momentum since April, and a successful breakout could confirm the start of a much larger rally.
If such a breakout occurs, the analyst signals strength Rising towards the $100,000 price level. At the time of writing, Bitcoin is trading at $68,100, about 47% away from that six-figure target.
Featured image created with Dall.E, chart from Tradingview.com