Bitcoin’s ‘bull pennant’ targets $165K as BTC exchange flows hit 10-year lows

6 hours ago 2

Key takeaways:

Bitcoin is up 10% to $108,200 from $98,400 local lows, reclaiming key support.
Bitcoin’s bull pennant on the daily chart targets 54% gains to $165,000.
Exchange flows are at a 10-year low, signaling investors continue to hold long-term.

Bitcoin (BTC) price registered a weekly high of $108,200 on June 25 after a 10% rise from its local low at $98,400 three days prior. BTC has now reclaimed a key support level as prices continued to consolidate below its $112,000 all-time high range.

Can Bitcoin price rise over 50% in the next few days?

Bitcoin “bullish pennant” hints at $165,000

Bitcoin rallied by 52% between April 8 and May 22 to reach an all-time high of $112,000. Since then, BTC price has oscillated between the all-time high and $100,000. The latest recovery from six-week lows below $100,000 suggests that the bulls are aggressively defending this level.

“Bitcoin reclaimed the key support area,” said popular crypto analyst Jelle in a June 25 post on X, adding that the BTC is now back inside a pennant on the daily chart.

A bull pennant is a continuation pattern that occurs after a significant rise, followed by a consolidation period at the higher price end of the range.

“Break above $110K, and this flies a lot higher.”

A positive breakout from the pennant could potentially lead to the next leg up for Bitcoin, measured at $165,200 or 54% from its current price level.

However, it is important to note that the success rate of a bullish pennant is only around 54%, which makes it one of the least reliable patterns.

Merlijn The Trader, a Bitcoin analyst, shared a similar bullish outlook, predicting a BTC price of $140,000 based on an inverted head-and-shoulders pattern.

“Break $112K and there’s nothing stopping $BTC from flying to $140K+.”

Other projections are even more ambitious, with some analysts citing soaring US debt and President Donald Trump’s tax cuts, putting BTC’s top between $200,000 and $250,000.

Bitcoin exchange flows hit 10-year lows

Bitcoin may be trading significantly closer to its all-time highs, with supply in profit above 96%, but demand for BTC among exchange users is drying up.

Data from onchain analytics platform CryptoQuant reveals the daily average volume of flows on exchanges hitting 10-year lows on June 25.

“The average volume of flows (Inflow + Outflow) on centralized exchanges has decreased to 40,000 BTC per day - this is the lowest figure in the past 10 years,” noted Bitcoin researcher Axel Adler Jr., adding:

“A significant portion of BTC has left the platforms, which is a sign of consolidation and potential liquidity shortage.”

Fewer inflows could mean investors are moving their BTC into self-custody wallets, reflecting confidence in Bitcoin as a long-term store of value.

As Cointelegraph reported, overall exchange BTC balances are at their lowest in seven years. Bitcoin balance on exchanges is 2.92 million BTC as of June 25, levels last seen in June 2019, as per Glassnode data.

Reducing supply on exchanges means less Bitcoin is readily available for trading, potentially leading to a liquidity shortage and higher prices in the long term.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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