Key takeaways:
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Bitcoin’s OBV is rising regardless of worth consolidation, signaling hidden accumulation.
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The same OBV divergence in March–April preceded a 57% BTC worth rally.
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A confirmed bull flag breakout may ship Bitcoin towards $130,000-135,000 by Q3 2025.
Bitcoin (BTC) has been caught in a variety between $102,000 and $112,000 since Could, however its on-balance quantity (OBV) continues to development upward, hinting at extra features forward.
Rising OBV hints at Bitcoin accumulation
The worth-OBV divergence is signaling rising “shopping for stress,” in response to market analyst Cas Abbé, who expects a rising OBV will help in sending BTC’s worth towards the $130,000–$135,000 space by Q3 2025.
The OBV indicator tracks quantity to find out whether or not consumers or sellers are in management. It provides quantity on days when the worth closes larger and subtracts it on down days. So, a rising OBV signifies that whole shopping for quantity outpaces promoting quantity.
In Bitcoin’s case, the OBV has continued to make larger highs since early Could, at the same time as worth has largely consolidated sideways ever since. From a technical perspective, such a divergence means that demand is constructing below the floor.
Earlier OBV divergence led to 57% BTC worth features
Historic worth motion exhibits that Bitcoin tends to interrupt out strongly when rising OBV confirms underlying shopping for stress in periods of worth consolidation.
Between March and April 2025, BTC was buying and selling sideways between $76,000 and $84,000, when OBV began forming larger lows. The divergence was adopted by a 57% rally, with BTC hitting over $110,000 by Could.
The fractal may validate analyst Cas Abbé’s view {that a} transfer towards $130,000–$135,000 might happen in Q3 2025 if it performs out as meant.
Bull flag helps $130,000 BTC worth situation
Bitcoin seems to be forming a traditional bull flag sample, a continuation setup that usually seems after robust upward strikes, adopted by a interval of consolidation.
On the every day chart, BTC’s surge to almost $112,000 in Could from round $93,670 established the “flagpole.” Since then, worth has been consolidating downward inside a parallel channel, forming the “flag.”
This construction means that BTC could also be gearing up for an additional leg larger. That might place Bitcoin’s breakout goal round $130,000, aligning carefully with Cas Abbé’s forecast for Q3 2025.
Associated: Nobody will promote their Bitcoin as soon as it faucets $130K: Bitwise CEO
The bull flag goal aligns with the predictions of a number of market analysts, together with Galaxy Digital founder Mike Novogratz, who sees Bitcoin hitting $130,000-150,000 owing to robust institutional flows and a weaker greenback.
Analyst Stockmoney Lizards, amongst different analysts, anticipate the Bitcoin worth to rise even larger, eyeing a year-end goal of $200,000.
This text doesn’t comprise funding recommendation or suggestions. Each funding and buying and selling transfer includes threat, and readers ought to conduct their very own analysis when making a call.
