Bitcoin Stagnates As Whales Continue To Dump
July 04 2022 - 8:27AM
NEWSBTC
Since hitting an all-time high of $69,000 in November 2021, the
price of Bitcoin has been declining. The current decline resulted
in a low of $17,622 in June. A long lower wick was produced by the
subsequent bounce. The bounce confirmed the $19,200 horizontal
area’s worth of support. The region had previously served as
resistance during the all-time high of 2017 and then again in
January 2021. It is now anticipated to offer support. Bitcoin Stuck
Below $20k Since crashing through that crucial threshold last
Tuesday, the largest cryptocurrency has been unable to surpass
$20,000. Bitcoin has stayed above $18,000, the lowest it reached
during the trough of a selloff in mid-June, even if it is still
trading at less than one-third of its all-time high, which was
above $69,000 in November 2021. Bulls tried to drive the currency
back up the chart and towards $22,000, but a strong sell-off
brought it down to $19,000 instead. The important support level for
the coin was $17,000, and if bears continued to press their
attacks, BTC may be able to move higher in the ensuing trading
sessions. The market capitalization of all cryptocurrencies is
currently $914 billion, up 0.3% over the previous day. BTC’s price
on the four-hour chart was $19,000. Prior to making an attempt to
recover on the chart a few weeks ago, the BTC/USD pair traded at
the same level. Resistance for BTC first appeared at $22,000 and
later at $20,000. The $22,000 level has presented BTC with
significant resistance, and the coin has had difficulty trading
above it for a lengthy period of time. If the present price trend
for BTC holds, $17,000 will be the next very soon. BTC/USD had a
sharp decline in trade volume, and the bar on the chart turned red,
signifying bearishness. Selling pressure has dominated the market.
However, the overall picture is still negative as there are no
signs of tightening financial conditions by central banks in the
equity markets. After failing a feeble ascent upward last week,
BTCUSD is still below the 200-week average on the weekly charts. A
historical quirk, the RSI on the weekly charts is still oversold.
Unfortunately, this does not indicate that it is now a better
moment for the bulls to enter. In theory, a continued transition
from the extreme to the norm would indicate a buy signal. BTC/USD
Slides below $20k. Source: TradingView The second quarter of 2022
saw bitcoin’s worst performance in eleven years. Investor Michael
Bury, who correctly forecasted the 2007 mortgage crisis,
acknowledges that BTC and stocks are only in the middle of a bear
market cycle. The current collapse of the cryptocurrency market,
according to Changpeng Zhao, CEO of cryptocurrency exchange
Binance, is a favorable time to invest in bitcoin. According to
him, traders who can persevere through the current bear market will
see their investments grow during the following bullish phase.
Additionally complicating issues are the absence of institutional
investor demand, international restrictions, and the collapse of
critical support levels. Related reading | Bitcoin Struggles At
$19K, Is $17K The Next Target? Whales Dump According to data from
cryptocurrency on-chain company Glassnode, the weekly moving
average number of distinct Bitcoin addresses at a loss peaked on
July 3, 2022, at 18.8 million. According to data, the present
massacre has caused the average Bitcoin holder to suffer their
greatest monthly loss since 2011. Number of Addresses in Loss.
Source: Glassnode According to analysts at CryptoQuant, the Whale
Ratio measure, which shows the selling tendencies of big wallet
holders, predicts that the price of bitcoin will shortly bottom
out. The top 10 inflows of bitcoin to exchanges are divided by the
total daily inflows to arrive at the whale ratio indicator. High
values of the measure reflect changes in price. The analyst pointed
out that whales are quickly transferring their Bitcoin holdings to
cryptocurrency exchanges and suffering significant losses. Related
reading | TA: Bitcoin Remains In Downtrend, What Could Spark Sharp
Upside Featured image UnSplash, chart from TradingView.com
Real-Time news about (Cryptocurrency): 0 recent articles
More Chain News Articles