TLDR
- Bitcoin showed positive Net Taker Volume on Binance, indicating aggressive bullish positioning by traders
- Bitcoin ETFs recorded second consecutive day of inflows totaling $76.42 million, suggesting renewed institutional confidence
- Analyst Dave the Wave predicts Bitcoin forming an inverse head-and-shoulders pattern with potential rise to $110,000
- Bitcoin price currently trading around $83,500-85,800 after recent volatility
- Despite 3% price dip and $40 billion market cap drop, futures traders remain optimistic with more call options than puts
Bitcoin has been experiencing notable price movements in recent days, currently trading between $83,500 and $85,800. The cryptocurrency market has shown mixed signals, with institutional investors seemingly regaining confidence while retail traders position themselves for a potential recovery rally.
Bitcoin’s price increased by more than 8% over a seven-day period, despite a recent 3% dip that contributed to a $40 billion drop in the total cryptocurrency market capitalization.
Market data from Binance, the largest cryptocurrency exchange, shows that traders have been placing aggressive bullish bets since April 11th. The Bitcoin Net Taker Volume has remained in positive territory, suggesting optimism among futures traders.
This shift toward positive sentiment coincided with news of a 90-day pause on tariffs for most countries, which helped Bitcoin begin a recovery phase.
ETF Inflows Signal Institutional Confidence
Spot Bitcoin ETFs logged a second consecutive day of net inflows on Tuesday, bringing in a total of $76.42 million. This follows Monday’s modest $1.47 million inflow and marks a reversal from last week’s persistent outflows.
BlackRock’s ETF (IBIT) recorded the largest daily net inflow at $38.22 million, bringing its total cumulative net inflows to an impressive $39.64 billion. This suggests major institutional players are maintaining their long-term conviction in Bitcoin.
Ark Invest and 21Shares’ ARKB followed with the second-highest net inflow of $13.42 million, with their ETF’s total historical net inflows now standing at $2.60 billion.
The gradual return of cash into Bitcoin ETFs hints at renewed institutional confidence in the coin’s prospects, even as short-term price volatility continues.
Technical Analysis Points to Potential Reversal
Crypto analyst Dave the Wave, who accurately predicted the 2021 Bitcoin crash, believes BTC is forming an inverse head-and-shoulders pattern on the daily chart. This pattern is traditionally viewed as a bullish reversal signal.
According to Dave the Wave, Bitcoin could rally close to $89,000 before dropping to support at $77,000 and then pushing toward a new all-time high above $110,000.
“With a push through the first line of resistance, the neckline of a possible BTC reverse [head and shoulders] would be formed… a great basing pattern,” the analyst noted.
Dave the Wave also emphasized that Bitcoin’s long-term uptrend remains intact despite the recent market sentiment turning bearish. He suggested that BTC’s price action indicates the correction phase is nearly complete.
With a push through the first line of resistance, the neckline of a possible #btc reverse h&s would be formed… a great basing pattern. pic.twitter.com/L8qfQzohuo
— dave the wave🌊🌓 (@davthewave) April 15, 2025
The analyst compared the current market conditions to previous cycles, noting that objective observers would see “a regular series of moves and corrections” rather than reasons for panic.
Futures market data shows mixed signals. Bitcoin’s open interest has dropped by 5%, indicating that some traders are closing their leveraged positions to avoid further losses.
However, the funding rate has returned to positive territory at 0.0032%, showing that many futures traders continue to open long positions in anticipation of a recovery.
Options market data reveals more call options than puts, further supporting the case for underlying bullish sentiment among derivatives traders.
In other market indicators, the 30-day Bitcoin Market Value to Realized Value (MVRV) Ratio has reached its lowest level in six months. This metric, which reflects investor profitability, previously bottomed at similar levels last year before Bitcoin formed price bottoms.
This historical pattern suggests the current MVRV level could potentially be bullish for the cryptocurrency if past trends repeat.
