The signal bitcoin momentum traders have been waiting for is here
What you need to know for April 22, 2026
What to know:
- Bitcoin broke above $78,000 after weeks of rangebound trading as risk appetite improved following President Donald Trump’s extension of the ceasefire with Iran.
- Onchain data show bitcoin balances on centralized exchanges at multiyear lows, suggesting investors are holding on to their BTC and raising the potential for a supply shortage.
- While bitcoin has reclaimed levels above its 100-day moving average and momentum traders are reengaging, firms such as QCP Capital argue for caution.
Momentum traders buy when they see proof that an upward trend is underway. Bitcoin’s breakout is exactly that, and more buyers could pile in as a result, adding to the momentum. As the first law of motion says: An object in motion stays in motion until an outside force acts upon it, though Sir Isaac Newton may not have been thinking of financial markets at the time.
“The market spent months capped in the 65 to 75 box. Breaking out of that kind of range matters because it changes behavior. Sellers who were comfortable fading rallies above 74 now have to reassess. Momentum buyers who were waiting for confirmation finally have something to lean on,” analysts at Marex said.
Onchain indicators suggest the same. For instance, the number of coins held in wallets tied to centralized exchanges has dropped to a fresh multiyear low of 2.67 millon BTC, according to data source CryptoQuant. It points to continued investor accumulation, which could culminate in a supply shock.
