Author: Ciaran Lyons, CoinTelegraph; Compiled by: Deng Tong, Golden Finance

A widely used trading indicator tracking buyer demand at cryptocurrency exchange Binance indicates that Bitcoin The coin may have the potential to retest the psychological price level of $100,000 before the end of the year.

At the time of publication, Bitcoin was trading at $96,222, according to CoinMarketCap data.

Takers are essentially buyers who accept the best immediate price the market has to offer. An increase in this indicator indicates increased investor interest and buying pressure.

Bitcoin: Taker Purchases - Binance Chart. Source: CryptoQuant

On a chart, higher lows indicate an uptrend, with each low being higher than the previous low. Looking at CryptoQuant’s chart, purchases by Bitcoin buyers hit a low below $5 billion on December 1. By December 15th, it was just under $6 billion, and by around December 25th, it was around $6 billion.

Three "higher lows" are often a strong indicator to traders that an uptrend may be forming.

Burrakesmeci said: "While the market may be overheating and undergoing a correction, the continued growth in taker purchases suggests that we may see Bitcoin prices rise in the coming days."

Bitcoin has been below $100,000 since December 19, after first surpassing $100,000 on December 5. Bitcoin is currently down 11.15% from its all-time high of over $108,300 set on December 17.

Some cryptocurrency traders predict that Bitcoin’s current chart is forming a similar pattern to December 2023.

In the three months starting in December 2023, Bitcoin gained nearly 90% since the approval of a spot Bitcoin exchange-traded fund (ETF) in January.

“Just noticed that Bitcoin’s price action is very similar to what it was about a year ago,” anonymous cryptocurrency trader Jack said in a Dec. 26 post.

Anonymous cryptocurrency trader Titan of Crypto expressed a similar sentiment to his 110,100 The model appears to be about 3 weeks ahead of schedule. ”