Bitget Token (BGB) Surges 18%, Setting Fresh All-Time High Amid Market Downtrend

Bitget Token (BGB), the utility token of the Bitget crypto exchange, has hit a new all-time high after surging 18% in the last 24 hours. This BGB all-time high comes despite a broader market experiencing significant downturns.

With the development, the token continues to hold its ground as one of the best-performing coins of 2024. Here is what led to the latest rally.

Bitget Token Volume Rises 10x Amid Bullish Conviction

On December 23, BGB’s trading volume was under $100 million. According to Santiment, this figure has surged tenfold, now exceeding $1 billion. The sharp rise in volume suggests a growing number of buyers and sellers engaging with the cryptocurrency.

Typically, a decline in volume signals reduced interest in an asset. When volume drops, the likelihood of sustaining an uptrend diminishes, and the price may decline instead.

However, with the recent price increase, demand for the Bitget Token has clearly risen. If trading volume continues to climb alongside the price, BGB’s value could maintain its uptrend.

Bitget Token Volume. Source: Santiment

Following the development, the Bitget Token’s price briefly climbed to $6.55 but has now declined to $6.40. Despite the slight retracement, 100% of the token holders are in profit. 

For some, this BGB all-time high could be a sign of the market’s top. However, on-chain data from Santiment suggests that it might not be.  One indicator supporting this thesis is the Market Value to Realized Value (MVRV) Long/Short Difference. 

The MVRV Long/Short Difference checks if long-term holders have more unrealized profits than short-term holders or whether it is the other way around. When the metric rises and has a positive reading, long-term holders have the upper hand, and the sentiment is bullish.

Conversely, a decline in the metric or negative reading indicates short-term holders’ dominance. But this is typical of a bear phase. As of this writing, the MVRV Long/Short Difference is nearly 320%, indicating that the token’s price is likely to hit a new peak irrespective of any pullback.

BitGet Token MVRV Long/Short Difference. Source: Santiment

BGB Price Prediction: $6 Is Not the End

On the daily chart, BGB price has continued to form higher lows and higher highs. Consequently, the reading of the Awesome Oscillator (AO), which measures momentum, has continued to rise.

Typically, when the AO reading is positive, momentum is bullish. A negative AO reading, on the other hand, indicates a bearish outlook. Since the image below shows that it is the former, then the altcoin’s value could continue to rise.

Bitget Token Daily Analysis. Source: TradingView

If validated, the altcoin might surpass the wick’s highest level at $6.58 to $7. In a highly bullish scenario, the value could surge toward $10. However, if some holders decide to sell, the potential of a new BGB all-time high would be invalidated, and this could send the token down to $3.64.