Technical analysts predict a 15% upside for Bitcoin with no sell signals, while Grayscale's Bitcoin Trust could face a shortage amid a surge in redemptions, challenging its market dominance.

Bitcoin Targets $80,600 High Amid Bullish Signals and Growing ETF Demand

The research firm identified Bitcoin's previous high of around $73,700 as the next short-term resistance level. According to Markets Insider, the source said if bitcoin breaks above that level, it will likely reach its measured move price target of $80,600, representing a 15% increase from current levels.

Bitcoin traded up 0.71% to $70,388 in the afternoon of March 26, giving it a market capitalization of nearly $1.4 trillion. The 66% increase in bitcoin this year has been driven by solid demand for spot bitcoin ETFs and the impending halving event next month.

Stockton is encouraged that during Bitcoin's most recent decline, it successfully tested its $64,900 support level and bounced higher.

"Today's strength generated an upturn in the daily stochastic, suggesting the pullback has matured in a bullish short-term development," Stockton said.

In the medium term, Stockton stated that the weekly MACD indicator is positive, and the weekly stochastic indicator is above 80%, indicating a bullish bias. Technical analysts use MACD and stochastic indicators to gauge a security's underlying momentum.

In the long run, Stockton is bullish and sees no technical sell signals on the horizon.

"The uptrend looks to be sustainable for the next several months per our long-term indicators, which point higher with no 'sell' signals," Stockton said.

Grayscale Faces Bitcoin Shortage Amid ETF Redemptions, BlackRock Set to Surpass

According to blockchain analysis firm Arkham Intelligence, the Grayscale Bitcoin Trust (GBTC), holding more than 347,000 bitcoins worth approximately $24.6 billion, is set to "run out for good" in 14 weeks.

According to the firm (via The Street), Grayscale began the year with more than 618,000 bitcoins held in GBTC, but clients have been redeeming their shares at an astonishing rate. GBTC was converted from a trust product to a spot ETF in the United States. The Securities and Exchange Commission (SEC) approved many such products to enter the market in January.

Investors appear to have exited GBTC due to the new products.

"It is under pressure from the nine other spot bitcoin ETFs that launched two months ago," DL News reported. "Rival funds run by Wall Street heavyweights like BlackRock and Fidelity have challenged the crypto native firm by offering lower fees. GBTC investors pay a 1.5% management fee, while other issuers, such as BlackRock, charge 0.25%."

Other analysts, however, believe Grayscale's ETF fortunes will soon change, attributing the current wave of outflows to bankruptcies rather than a general decline in investor interest. Bloomberg ETF analyst Eric Balchunas stated, "the worst is probably close to being over. Once it is, only retail (investment) will be left and flows should look more like the February trickle."

With competitor BlackRock iShares Bitcoin Trust (IBIT) now holding more than 238,500 bitcoins, crypto analysts believe the world's biggest asset manager ETF will soon surpass Grayscale in two weeks.

"BlackRock is going to flip Grayscale soon," Crypto YouTuber George Tung said. "I say within the next two weeks, it's going to happen."

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