The emergence of Bitcoin ordinals alias NFTs and the BRC-20 market has significantly increased the average Bitcoin transaction fees in the past few weeks. The Bitcoin average transaction fee spiked to a 12-month ATH of around $19.21, with some centralized exchanges charging as high as $60 to process. Nevertheless, some exchanges are navigating the high Bitcoin congestion through the use of the lightning network.
As the miners enjoy profitable block rewards, crypto investors and users are opting for cheaper and more efficient blockchains at the expense of the Bitcoin network. As a result, the Bitcoin sell pressure could increase in the coming days, pushing the asset toward $25k
Bitcoin Bullish Stance
According to a famous crypto trader Captain Faibik, Bitcoin price could be looking to see a 20 percent spike towards $33.7k in the near term. In his latest Bitcoin analysis, Captain Faibik noted that the $27.3K support has held strong in the recent past, thereby assuring a possible bounce back.
“If Bitcoin can Maintain its Position above this Support level and Experience a Bounce Back, there’s a strong possibility of a 20% Bullish Rally,” the analyst insisted.
The analyst noted that the symmetrical triangle is likely to hold in the coming days with a strong rebound.
Low Exchange Balance
The amount of Bitcoin balance on centralized exchanges has hit a five-year ATL, according to on-chain data from Santiment. The withdrawal of Bitcoin from centralized exchanges is a sign of increased self custody, and overall bullish for the crypto market.
From a different perspective, Bitcoin price could be forming a possible head-and-shoulder (H&S) formation in preparation for a market capitulation. Moreover, Bitcoin’s daily RSI shows a falling divergence on a possible triple top.