Bitcoin Live News: What’s Ahead For BTC Price in June?
In a recent analysis by TechnicalRoundup, the current state of Bitcoin (BTC) was discussed. His in-depth review revealed a prolonged market stagnation, with the key resistance and support levels still persisting.
A Prolonged Stagnation in Sight?
Analyst suggests that the month’s close revealed little to no significant changes in market structure. The market seems to be stuck within the $20,000 to $35,000 range with no imminent signs of a breakout.
A visible “spike and close above” argument, which might indicate an upcoming shift, is currently absent from the timeframes. It is anticipated that until the market breaks out from this range, there might not be a substantial recovery.
The analyst also expressed concerns that the market could enter a new range with continuous monthly candles, potentially leading to a prolonged stagnation period. This stagnation, dubbed as “multi-month diddling,” might result in significant losses for traders who are not cautious.
Navigating the ‘Choppy’ Market
Although the cryptocurrency market has historically been volatile, the current situation is described as particularly “choppy”. Even the higher timeframes, such as the weekly and monthly, aren’t spared from this rough trend, making it difficult to establish a directional bias. The prevailing theme seems to be a lack of follow-through on the bearish side, but this hasn’t done much to invigorate the bullish traders.
The current market condition necessitates a careful approach when setting up trades. The $27.5k level was identified as a critical line in the sand for Bitcoin. A close below this could signal a bearish trend, further complicating the already complex market scenario.
Nevertheless, the daily timeframe remains crucial in this choppy market condition. This is where most of the work has to be done, especially as the volatility becomes more constricted. However, the daily timeframe has also presented a number of fakeout signals since the range started at the end of March, requiring traders to remain vigilant.
At press time, BTC was worth $27,166.
Ripple News: XRP Takes the Lead, Surpasses Bitcoin by a Stunning 30%
In the shifting landscape of digital currencies, Ripple’s XRP is currently outshining Bitcoin with an impressive growth trajectory, surging nearly 30% against the crypto world’s firstborn. XRP has resilience amidst a tough market downturn and has the potential for an unprecedented rally against Bitcoin.
XRP: The Unscathed Champion in a Bleak Market
While Bitcoin has borne the brunt of a falling crypto market, XRP has shown remarkable resistance to this downward spiral. The latter has not only held its ground but emerged stronger, exhibiting a 30% gain against Bitcoin over the past few weeks. Surpassing key resistance points, XRP appears primed for a formidable rally, a testament to its ever-growing robustness amidst a challenging market.
Dark Defender, a veteran crypto analyst, recently underscored XRP’s bullish trend, noting that the cryptocurrency had successfully navigated through two significant resistance points against Bitcoin, setting the stage for a possibly game-changing rally.
Breaking the Chains of a Long-Term Downtrend
A historical analysis reveals that XRP has been entangled in a downward trendline since May 2017 after plunging from an all-time high of 0.0002401. Fast forward to September 2022, XRP managed to break free from this downward trajectory but continued to grapple with a formidable resistance point. However, a shift occurred last month, with XRP breaking this critical resistance and surging ahead of Bitcoin.
“Extreme XRP appreciation against BTC is imminent,” predicts Dark Defender, painting a scenario where Bitcoin rebounds to the $30K mark. The expert believes that in this context, XRP could surge to a 2-year high of $1.44, surpassing Bitcoin in terms of percentage gains. The potential for XRP to maintain its value, even if Bitcoin falls to $10K, further underscores its resilience.
Looking Back: The Historical Significance of 2017
The current scenario echoes the year 2017 when XRP shattered a similar resistance point and outshone Bitcoin by a whopping 605% within two months. Given this history, many analysts are hopeful of a repeat performance that could propel XRP to new record highs.
Cryptic Poet, a well-known crypto trader, corroborates this bullish outlook for XRP. Pointing to the fact that XRP has outpaced Bitcoin by 30% in the past month, the trader highlights the increasing dominance of XRP in the crypto market.
Supporting this, another crypto analyst, Ryan, pointed out XRP’s strong resistance against market bears compared to Bitcoin since March 2021. Interestingly, while Bitcoin’s value has plummeted by 55% over the last two years, XRP has held its ground, maintaining around the $0.50 mark.
Signs of an Imminent Rally
The surge in XRP’s daily active addresses on May 28 and May 29 hints at its growing popularity. As of this writing, XRP is trading at $0.5253, up 1.12% in the past 24 hours, while Bitcoin lags behind at $27,175, posting a 0.10% gain during the same period.
And as the saying goes, ‘History tends to repeat itself,’ the crypto community eagerly anticipates if XRP will once again mirror its 2017 triumph.
Crypto Market Analysis: This Scenario is Currently Not in Play for Bitcoin and Ethereum
After a turbulent May for crypto investors, the outlook for June is more positive. Investors are hopeful for a stable market that will provide a clear direction for cryptocurrency prices. Analyst Crypto World recently discussed the important levels of Bitcoin and Ethereum in a new YouTube video.
The analyst has observed a falling wedge pattern forming, indicating a potentially bullish pattern. However, there is still a possibility of a downside breakout, although less likely. Confirmation of a breakout above the resistance level at approximately $28,000 or below the support level at around $26,000 is needed for a clearer direction. If an upside breakout occurs, the price target would be around $30,500, but this is not currently in play.
He then moved to the eight-hour Bitcoin chart and said that the price remains in a sideways range between support (approximately $26,100 to $26,500) and resistance (around $27,200 to $27,600). A breakout above the short-term resistance levels would signal bullish price action. At the time of writing, Bitcoin is trying to hold above the $27k level.
The analyst then shifted focus to Ethereum and highlighted that the daily chart shows the price still trading above the support area between $1,770 to $1,820.He said that Ethereum has rebounded from the support range ($1,830 to $1,860) and is testing the descending resistance line around $1,890. A confirmed breakout above $1,890 could lead to resistance levels at approximately $1,920 to $1,950 and $2,000.
The recent bullish divergence resulted in a short-term reset in both the price and RSI as the RSI entered overbought territories. A similar cool-off period could occur in the coming hours or days, followed by another upward movement after a further RSI reset.
Is Bitcoin The Next Apple In The Making? Analyst Draws Parallels
In a series of tweets, Jurrien Timmer, the global macro director at Fidelity Investments, drew parallels between the crypto market and the tech bubble of the late 1990s. Timmer suggests that just as some tech stocks emerged as winners from the dot-com bubble, certain digital assets in the crypto industry will rise while others may fade away.
Could Bitcoin be the “Apple” of digital assets, beating the odds and ushering in a new era of dominance? Read on!
The New Apple Of The Crypto World
Timmer specifically highlights Bitcoin (BTC) as a potential “Apple” of the crypto world. He explains that similar to how Apple and Amazon survived and thrived after the tech bubble, Bitcoin could also not only survive but also take market share from other digital assets.
To illustrate his point, Timmer overlays Bitcoin’s current chart with that of Apple’s stock and an internet stock index from two decades ago. The charts seem to exhibit similar price patterns, implying a possible correlation between Bitcoin and the successful trajectory of Apple during the dot-com bubble.
Read: Analyst Predict BTC Price Can Surge 200% Ahead of Bitcoin Halving – Coinpedia Fintech News
A Bumpy Road To Dominance
He further notes that even Apple experienced a significant decline during the bubble burst, but ultimately recovered and became a dominant force in the tech industry. Whether Bitcoin will follow a similar path remains to be seen.
As of the writing, Apple (AAPL), trading at $0.22 in 2002, has risen to $177.25, reflecting a staggering gain of approximately 80,345%.
Liquidity Crunch Looms: Bloomberg Analyst Predicts Further Decline for Bitcoin
Amidst growing concerns, Bloomberg Intelligence’s senior macro strategist, Mike McGlone, cautions that the worst may not be over for Bitcoin (BTC) as recessionary headwinds could push the cryptocurrency lower.
How recession will hit the entire crypto space, do we see more bloodbaths? Let’s hear McGlone’s version.
Bloomberg Analyst’s Bitcoin Liquidity Forecast
In his latest Crypto Outlook edition, McGlone predicts a liquidity crunch in the second half of 2023, fueled by the anticipated US recession.
McGlone highlights the possibility of a liquidity crunch, indicating that Bitcoin’s current state may not be at its bottom. He suggests that June could either witness a continuation of the first-half rally or roll over into a US recession. With markets appearing to have priced in optimistic outcomes from aggressive central bank rate hikes, McGlone believes the latter scenario is more likely.
First-Half Hope or US Recession?
While recent market bounces have provided some relief, McGlone remains skeptical about their sustainability. He notes the transient nature of the rising Nasdaq 100 Stock Index’s ability to lift all market assets, including Bitcoin. Citing downtrends in the 100-week moving averages of both the stock index and Bitcoin, McGlone questions whether the worst is truly over or if the market should respect the prevailing downward trend.
McGlone’s concerns extend to the broader market, as he emphasizes the potential reversal of liquidity pumps that are still dumping assets. He points to the Federal fund’s futures in one year (FF13) as an indicator of this ongoing dumping. He further suggests that a decline in equities may be necessary for interest rates to fall, reinforcing his perspective on the market’s downward trend.
Bitcoin’s Risky Ride at $7,000?
Having previously warned of Bitcoin potentially dipping as low as $7,000, the analyst reiterates his stance, stating that an expected US recession could further push risk assets, including Bitcoin, downward. He highlights Bitcoin’s high of about $30,000 in 2023, relative to the 100-week mean of around $33,000, suggesting the cryptocurrency may experience gravity from the comfort zone of around $7,000 before the unprecedented liquidity boost of 2020-2021. The impending US recession, which has yet to materialize, could put additional pressure on risk assets.
As of the time of writing, Bitcoin is trading at $27,074, with a marginal increase of 0.7% over the past 24 hours.
Here’s When Traders Can Expect Bitcoin Bull Run 2023 – Arthur Hayes Predicts Timeline
Despite recent fears about the US regional financial crisis, the crypto market has shown signs of stability, suggesting a correction phase after two big gains since 2023. The US debt ceiling deal has prevented another Bitcoin price spike, but industry analysts are confident about the cryptocurrency market’s future.
Despite the turbulence in the banking sector, Bitcoin has demonstrated resilience, maintaining a steady course amidst regional banking concerns. This stability has provided a sense of reassurance to investors and traders who closely follow the cryptocurrency market.
Arthur Hayes, renowned for his expertise in the field, has presented a pragmatic forecast for Bitcoin’s growth in the coming months. Recognizing the importance of patience and monitoring the actions of the US Federal Reserve, Hayes suggests that the bullish path for Bitcoin could gain momentum by October 2023. His analysis centers around the potential impact of increased dollar liquidity on the US economy, leading to the acquisition of risk assets like Gold, Bitcoin, and AI tech stocks as he mentioned in his blog post.
Understanding the Factors Behind
Notably, Hayes’ projection takes into account the current economic landscape and potential market catalysts. By assessing the influence of the US Federal Reserve’s interest rate policies and the broader implications of dollar liquidity, he suggests that Bitcoin’s growth is likely to align with these factors.
Late in Q3 and early in the Q4 of 2023, Hayes expects the real Bitcoin bull market to commence. Despite acknowledging the possibility of price fluctuations, Hayes firmly states that retesting the $20,000 mark or similar levels is unlikely.
Based on Hayes’ predictions, it is reasonable to expect Bitcoin’s price to remain within its current range, with a potential floor above the $23,000 mark even in the worst-case scenario. It is crucial for crypto investors to consider Hayes’ forecast alongside the countdown to the Bitcoin halving event, scheduled to occur before June 2024, aligning with the timeframe he has provided.
Bitcoin Investors Wait For A Bullish Surprise! Will BTC Price Head Toward $28K?
As the Bitcoin market continues to display massive volatility near the $27K level, investors are awaiting a bullish surprise to ride on a short-term uptrend. The U.S. unemployment rate recently broke the expected 3.5%, creating a favorable position for Bitcoin’s upward trajectory. Additionally, the recent rise in the debt ceiling is building a bullish positive momentum for BTC price, leaving investors waiting for a solid trend.
Bitcoin Experiences Bullish Scenario
The U.S. unemployment rate recently broke the expected 3.5%, coming in at 3.7%. While this slight increase may initially seem concerning, it’s important to delve deeper into the data. The May non-farm payrolls, a key indicator of job growth, were projected at 190,000 but instead came in at a whopping +339,000. This robust and resilient job market paints a picture of an economy that is bouncing back stronger than expected.
According to a recent analysis by QCP Capital, clarity has emerged in the macroeconomic landscape following a compromise on the Debt Ceiling by U.S. political figures. This event had previously been a source of uncertainty, causing unrest in the financial sector.
This heightened uncertainty was a significant factor in the observed decrease in volatility and the stagnant trend in risk-on assets like Bitcoin. Drawing parallels to 2020, QCP Capital suggests that Bitcoin is on a similar path, mirroring the period of uncertainty in both the macroeconomic scene and the crypto market after a prolonged dormant phase.
The cryptocurrency experienced a significant drop and remained stable for the year, mirroring Bitcoin’s 2020 behavior, as shown in the chart. Bitcoin later trended upwards in 2020. QCP Capital predicts a similar pattern for BTC, anticipating a break from the stable price action soon.
What’s Next For BTC Price?
BitMEX co-founder Arthur Hayes argues that Bitcoin’s price and inflation will increase together due to aggressive central bank policies, a view that contradicts the modern monetary theory.
BTC’s price is currently facing a hurdle to hold its momentum near the $27K price level. After forming a Doji candle near $27,200, the BTC price faced sharp selling pressure, forcing it to drop below the 23.6% Fib level.
However, Bitcoin is showing a reversal from its downtrend, suggesting that sellers remain active at key resistance levels. The nearly flat 20-day EMA of $27,106 and the RSI just below the midpoint don’t clearly favor either buyers or sellers. If the price stays below the 20-day EMA, BTC could fall to the $26,650 support level.
The $24,000 to $25,300 range is expected to be strongly defended by buyers, as a break could lead to a sharp drop to $20,000.
For a new upward trend, buyers need to overcome the resistance line at $28K. This could initially push the BTC price to $30,000 and then to $31,000.
Bitcoin Price Prediction For June 2023: Here’s What Traders Can Expect
The post Bitcoin Price Prediction For June 2023: Here’s What Traders Can Expect appeared first on Coinpedia Fintech News
Renowned Bitcoin trader Bob Loukas recently shared his insights on the price action of BTC for the month of June. Loukas maintains a bearish view of the Bitcoin chart, emphasizing the presence of a well-structured 4-year cycle in its early phase.
He believes that a potential pullback to the lower $20,000 level in June would present an excellent opportunity for investors. Loukas’ forecast seems to align with the current market conditions, considering that Bitcoin recently experienced its first negative month in 2023.
#bitcoin. Imagine still being bearish on this chart.
Perfectly structured 4yr cycle in the early phase.
A pullback in June to the lower $20k's would be a tremendous gift. pic.twitter.com/pfIuIGkCj2
— Bob Loukas (@BobLoukas) June 1, 2023
Analysts suggest that as liquidity tightens due to the raised U.S. debt ceiling, the cryptocurrency markets are bracing themselves for a possible downturn. This is attributed to the Federal Reserve’s ongoing process of winding down its balance sheet and replenishing the U.S. Treasury general account. These actions will result in the removal of hundreds of billions of dollars from the financial system, potentially exerting downward pressure on cryptocurrency prices in the coming months.
Earlier in the year, the optimism surrounding the Federal Reserve’s decision to pause rate hikes contributed to the rise in the prices of risk assets such as stocks and cryptocurrencies. Bitcoin, being the largest cryptocurrency in terms of market capitalization, reached a peak of $31,000 during this market-wide crypto surge.
Bitcoin (BTC)Price Fails to Gain Traction Amid Hong Kong Crypto Adoption
The Bitcoin market and almost the entire altcoin market failed to pick up bullish momentum on Thursday despite the adoption of crypto assets by one of the most developed cities in the world, Hong Kong. Notably, veteran centralized cryptocurrency exchange Huobi was announced among the members of the Hong Kong Virtual Asset Consortium (HKVAC) – a virtual asset rating agency – to help establish a virtual asset index and a virtual asset exchange rating in Hong Kong.
On the contrary, Bitcoin and Ethereum prices dropped approximately 1 percent in the past 24 hours to begin June trading around $26.8k and $1,860 respectively.
Bitcoin Open Interest Tumbles Amid the IRS and Coinbase Fiasco
The Bitcoin open interest, an important insight into the crypto trading market, suddenly declined in the past few days, according to aggregate data from decentrader. Notably, as Bitcoin price fell below $27k on Wednesday, the open interest on all crypto exchanges declined below $8.2 billion.
Arguably, the decline of open interest in the Bitcoin market is likely due to a recent ruling from U.S. District Judge Joseph N. Laplante that the IRS has been acting within its mandate to access peoples’ information from third parties like Coinbase. Notably, the case was filed by plaintiff James Harper who accused the IRS of overstepping in tax collection.
“The IRS’s actions at issue, in this case, fall squarely within that broad latitude, and Harper is not entitled to protection or relief beyond the existing congressionally and judicially imposed ‘safeguards’ and checks on the IRS’s powers,” the Judge wrote.
Liquidity Crisis Hits Crypto Markets Hard; Can Bitcoin & Ethereum Recover?
As Bitcoin and Ethereum prices grapple with maintaining their bullish momentum this year, the overall crypto trading volume has experienced a decline in recent weeks. Despite earlier reports of trading volume solely in the Bitcoin segment reaching $37.1 billion, the total crypto market trading volume has now reached this figure, highlighting the drop in liquidity for risky assets.
This decrease in volume can be attributed to multiple factors, including the United States Treasury’s plan to refill its depleted Treasury General Account (TGA) and the impending monetary tightening policies of the Federal Reserve.
Crypto Trading Volume Takes a Hit
The dwindling crypto trading volume is a cause for concern in the digital asset market. Analysts anticipate the United States Treasury’s move to replenish the cash reserves, leading to a period of condensed liquidity. The riskier assets, such as Bitcoin and Ethereum, which are more sensitive to liquidity conditions, are likely to be affected the most. Macroeconomic analyst Noelle Acheson explained that these assets tend to be more impacted by liquidity than safer investment options like bonds and certain equities.
Also Read: On-Chain Data Shows Most Bitcoin Holders are Selling at a Loss – Coinpedia Fintech News
Impact of Treasury Account Replenishment
The drawdown of funds from the Treasury General Account at the Federal Reserve had previously provided a boost to the market by injecting money into the economy through government expenditures. However, as the Treasury aims to refill its almost empty TGA, a sizable amount of cash, estimated at $500 billion, will be withdrawn from the financial system. This move, coupled with the potential resumption of the Federal Reserve’s monetary tightening policies, is expected to have a substantial impact on risk assets.
“This is likely to especially hit risk assets as they tend to be more sensitive to liquidity conditions than safer plays such as bonds and many groups of equities,” macro analyst Noelle Acheson said.
“The Treasury drawing down its account at the Fed was one of the tailwinds for the market earlier this year, as money that would normally just sit there was put into the economy in the form of government expenditures,” Acheson explained.
Regulatory Crackdown Adds to the Woes
In addition to the liquidity challenges, the ongoing regulatory crackdown by the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) has led to the closure of several crypto firms in the United States. These regulatory actions have created further uncertainty and a challenging operating environment for cryptocurrency businesses.
3/4 Implications: Liquidity going to be very net negative. We have to refill roughly $500B in the TGA this means issuing bnds. With mkts purchasing bnds it means less $ for risk assets. Clawbacks on Covid19 funds+restarting student loan pmts means less $ on the consumer side also pic.twitter.com/ohHJiF7W6O
— Tom Dunleavy (@dunleavy89) May 28, 2023
Crypto Market Analysis: Expert Raises Bullish Alert For Bitcoin, Litecoin & Polygon
Renowned and acclaimed crypto strategist, Michaël van de Poppe, has shed light on three prominent digital assets: Litecoin (LTC), Polygon (MATIC), and Bitcoin (BTC).
Litecoin’s Halving Rally
Request 01 – $LTC
Many squigglies on this chart, but higher timeframe resistance is at $93.
Currently, support found at $82 and a strong bounce -> weekly candle looks good.
Next week breaking through $93 and the Halving rally might start. pic.twitter.com/k8Xtp70Tai
— Michaël van de Poppe (@CryptoMichNL) May 27, 2023
Van de Poppe underscores the critical juncture for Litecoin on Twitter, explaining that the next few days will be crucial for its price action. He identifies the immediate resistance level at $93, which needs to be surpassed for the halving rally to commence. Currently, Litecoin finds support at $82, and a strong bounce at this level indicates a positive weekly candle.
Related: Litecoin Halving Event Sparks Frenzy: Here’s What Investors Can Expect
Van de Poppe suggests that breaking through $93 next week could trigger the anticipated halving rally. The third halving event for Litecoin is scheduled to take place on August 2nd, 2023. At the time of writing, LTC is trading at $91.32.
Polygon (MATIC) To The Moon!?
The analyst also closely monitors Polygon (MATIC), a layer-2 scaling solution. He believes that if MATIC can surpass a key resistance level, it could experience a significant rally of up to 61%. He highlights the importance of flipping the resistance at $0.95, which would pave the way for accelerated growth toward the $1.30-$1.50 range. However, if MATIC fails to breach this level, a short position may be activated, and long positions can be considered at $0.75. As of the time of writing, MATIC is valued at $0.94.
Bitcoin Market Outlook
For Bitcoin (BTC), Van de Poppe expresses an optimistic viewpoint, claiming that the “sky is the limit” for the leading cryptocurrency now that it is trading above $27,400. He points out a positive retest of Bitcoin at $26,600, suggesting a potential continuation of its upward trend. Bitcoin is currently trading at $28,133.
However, you must take this as a mere perspective. As always, market conditions can change, and investors are advised to conduct their research before making any investment decisions.
On-Chain Data Shows Most Bitcoin Holders are Selling at a Loss
Amidst the backdrop of high global inflation, Bitcoin’s value has been plummeting, prompting crypto investors to seek refuge in stablecoins. Over the past three days, the price of Bitcoin has experienced a significant drop of over $10,000, settling at around $26.2k on Wednesday.
Meanwhile, the demand for stablecoins, particularly Tether USDT, has continued to surge, with the trading volume reaching approximately $32 billion on Thursday.
Bitcoin Holders Seek Safety in CEXs
According to Glassnode, a renowned on-chain crypto insight platform, an increasing number of Bitcoin holders are depositing their coins in centralized exchanges, even if it means suffering losses. Interestingly, Glassnode’s data reveals that short-term holders (STHs) outweigh long-term holders (LTHs) in terms of depositing coins at a loss.
Glassnode Highlights P/L Ratio
Glassnode’s analysis brings forth fascinating insights. The platform’s observations indicate a positive bias of 1.73 among LTHs, indicating profitable inflows for this group. Conversely, STHs exhibit a negative bias of 0.69, similar to the market-wide bias of 0.7, suggesting that STHs are currently dominating exchange inflows.
Glassnode utilizes the profit/loss ratio (bias) of Bitcoin deposit volume to centralized exchanges as the basis for these conclusions.
When assessing the profit/loss ratio (bias) of #Bitcoin deposit volume to exchanges, we note a current negative bias of 0.7, suggesting coins are flowing into exchanges at a loss. pic.twitter.com/6dYAbsFdyg
— glassnode (@glassnode) May 25, 2023
Prepare For More Pain Ahead
Considering the technical aspects, it appears that the crypto market has potentially completed its rebound phase following last year’s bearish outlook. Presently, the market, spearheaded by Bitcoin, seems to be caught in a multi-quarter consolidation phase, awaiting next year’s halving event, which may serve as a catalyst for a new macro bull rally.
Analyst Predict BTC Price Can Surge 200% Ahead of Bitcoin Halving
For the first time since the calendar flipped in January, Bitcoin price had a bearish monthly close in May. Having dropped approximately 3 percent in the past 24 hours to trade around $26.8k on Thursday, Bitcoin price faces choppy days ahead. Moreover, several support levels in the higher time frames have failed to yield bullish sentiments.
Nonetheless, a popular crypto trader on Twitter Rager (@Rager) thinks Bitcoin still has a shot at hitting $40k before the onset of the fourth halving in 2024. In this regard, Rager noted that Bitcoin has a lot of range to happen similar to the 2019 rally that yielded approximately 200 percent.
Meanwhile, the famous crypto trader noted that the current Bitcoin range will present long-term investors with an opportunity to enter before the onset of the next major bull cycle.
“But do expect a lot of ranging to happen and IMO good BTC entries are worth holding for the next couple of years,” Rager concluded.
What Next For BTC Price?
For Bitcoin to hold a bullish outlook in the coming weeks and months, the instrument must hold crucial support levels to avoid further capitulation. According to another famous crypto trader on Twitter @CryptoFaibik, Bitcoin price is currently consolidating in a falling wedge on the daily time frame chart. As a result, the analyst noted that several indicators including the Bollinger Bands and the Relative Strength Indicator (RSI) have been pointing to an imminent breakout.
“Bitcoin Bulls Must Defend the Crucial Support at 26k and Clear the Resistance at 28k to Confirm a Wedge Breakout..,” the analyst noted.
Bitcoin News : Here’s Why BTC Price Is Dropping Today?
In a sudden turn of events, Bitcoin (BTC), the leading cryptocurrency, took a nosedive and plunged close to the $27,000 mark earlier today, signaling a wave of selling pressure in the crypto market. Bitcoin’s price tumbled to a low of $26,978 before showing a slight recovery, but it remains volatile as it continues to trade.
May Blues: Bitcoin Set for Worst Month Since November 2022
May has been a catastrophic month for BTC is down by 3.09% within the last 24 hours and is currently valued at $27,110. The current decline comes after Bitcoin briefly managed to climb above the $28,000 level during the extended holiday weekend. Unfortunately, the overall market sentiment appears to be waning as many cryptocurrencies are witnessing losses. Ethereum, Solana, and Cardano, in particular, suffered drops of up to 3%.
On the other hand, this recent price drop has also set Bitcoin on course for its worst month since November of last year when the FTX exchange faced difficulties. It is also on track to register its first negative month since 2023. Presently, Bitcoin has experienced a 7.3% decrease in value throughout May.
Earlier this year, Bitcoin witnessed a remarkable 84% surge in value from January 1st to mid-April, briefly reaching an all-time high of $31,000. However, this meteoric rise has since dwindled to 64%.
Factors Influencing the Market
Factors such as a lack of liquidity and a restrictive monetary policy have contributed to a dampening of interest in cryptocurrencies.
The recent decrease in cryptocurrencies can be attributed, in part, to traders carefully evaluating the implications of the U.S. debt-limit agreement. Congress is under pressure to adopt the agreement before June 5th, the date by which the U.S. might potentially default. Should the deal receive approval, it could result in a flood of bill sales, draining liquidity from the market.
Furthermore, traders are closely monitoring the statements made by top Federal Reserve officials. Loretta Mester, the President of the Federal Reserve Bank of Cleveland, recently commented that there is currently no compelling case to halt the tightening of liquidity measures.
The cryptocurrency market continues to be a rollercoaster ride, with Bitcoin’s recent drop serving as a stark reminder of its volatility. As market participants brace themselves for potential further fluctuations, the fate of Bitcoin and the broader crypto market hangs in the balance.
Bitcoin Faces Worst Month Since 2022; What’s Happening?
The post Bitcoin Faces Worst Month Since 2022; What’s Happening? appeared first on Coinpedia Fintech News
Crypto’s rebound loses momentum with Bitcoin poised for its worst month since November 2022, partly due to the FTX collapse. Bitcoin’s monthly drop in May marks its first decline in 2023, reaching approximately 6%, while other top 100 digital assets experienced a similar plummet. Investor attention shifts as around 100 leading digital assets witness a parallel decrease and assets like AI gain prominence in the investor spotlight.
Can Ethereum Beat Bitcoin? Crypto Expert Reveals Surprising Insights
Cryptocurrency strategist Benjamin Cowen has shared his insights on the potential performance of Ethereum (ETH) compared to Bitcoin (BTC) in the near future. In a recent YouTube video, Cowen highlights key trends in the crypto market that all investors and traders should turn their focus toward.
Bitcoin Dominance On The Rise
Cowen points out that the Bitcoin dominance chart (BTC.D), which indicates the proportion of the total crypto market capitalization held by Bitcoin, is showing a strong upward trend; suggesting that the dominance of the crypto is increasing in the markets.
On the other hand, he observes that the Ethereum versus Bitcoin chart (ETH/BTC) is moving in the opposite direction. He notes that the chart is consistently forming lower highs, indicating that Ethereum’s performance relative to Bitcoin is declining.
Predictions For The “Flippening.”
Cowen cautions against premature conclusions about the “flippening,” a hypothetical event in which Ethereum surpasses Bitcoin in market capitalization. He explains that each time the ETH/BTC chart forms a lower high, there is often a surge of excitement in the community, with people speculating that the flipping is imminent. However, history has shown that these lower highs have not led to a significant shift in the market dynamics.
Also Read: Top Reasons Why Ethereum Price May Still Make it to $2000 in the Next Few Days! – Coinpedia Fintech News
Liquidity Hampers ETH/BTC Decline
Cowen also discusses why the ETH/BTC pair may not be experiencing as steep a decline as it did during the bear market of 2018-2019. He attributes this to the increased liquidity present in the system today. The abundance of liquidity has made it more challenging for the Federal Reserve, the central bank of the United States, to swiftly remove excess liquidity from the market. Nevertheless, Cowen suggests that liquidity is gradually being reduced.
Overall, Benjamin Cowen’s analysis indicates that while Bitcoin’s dominance in the crypto market is increasing, Ethereum’s performance relative to Bitcoin has been on a downward trend. He advises caution and highlights the historical pattern of lower highs not leading to the anticipated flipping. He also emphasizes the impact of increased liquidity, which has slowed down the rate of decline for the ETH/BTC pair compared to the previous bear market.
Bitcoin Dips to $27K as FED’s Mester Advocates for Continued Tightening
Bitcoin (BTC) faced selling pressure on Wednesday as a prominent Federal Reserve (Fed) official expressed the view that there is currently no compelling reason to pause the tightening of liquidity measures.
The ongoing tightening measures implemented by the Fed have had an impact on various risk assets, including cryptocurrencies, leading to increased volatility in the market.
FED Executive Sees no compelling Reason to Pause
Loretta Mester, the President of the Federal Reserve Bank of Cleveland, told the Financial Times that she doesn’t see a compelling reason to pause.
“I would see more of a compelling case for bringing the rates up and then holding for a while until you get less uncertain about where the economy is going,” she added.
The Federal Reserve (Fed) has taken steps to address inflation concerns by raising rates by 500 basis points to 5% since March 2022. The recent endorsement of another rate hike and the adoption of a higher-for-longer stance by Mester, a Fed official, follow the release of inflation data that surpassed expectations. This support reinforces the current market sentiment, leading to a more hawkish outlook on interest rates in the United States.
Bitcoin Emerges as a Strong Performer
According to Glassnode, a prominent market data provider, Bitcoin has demonstrated robust performance when compared to other significant commodities. Glassnode highlighted that Bitcoin (BTC) has consistently outperformed other assets, maintaining a 14.5% increase above its February closing price.
It is important to note, however, that Bitcoin’s performance has been comparatively less strong compared to its peak in the first quarter when it recorded an impressive 72% growth.
The cryptocurrency market has experienced significant volatility in recent times. Bitcoin, in particular, has seen a turbulent ride, reaching a high of $28,044 within the last 24 hours but subsequently dropping to a low of $27,019. As per CoinMarketCap data, BTC is currently being traded at $27,912, reflecting a decrease in value of 2.2% over the past 24 hours.
Are Sellers Shorting Bitcoin Before A Big Move? Here’s What To Expect From BTC Price Next
The crypto market is currently witnessing a rollercoaster ride, and Bitcoin is leading the pack. Following an accord to elevate the U.S. debt ceiling, Bitcoin (BTC) ascended beyond the $28,000 mark. However, despite this rise, the cryptocurrency seems poised for its initial monthly decline since December. Currently, analysts and traders are expecting selling pressure in the BTC price chart as Bitcoin faces rejection near the much-anticipated resistance level at $28K.
Bitcoin Sparks Possibilities Of Increased Volatility
Glassnode, in its most recent blog post, portrays the Bitcoin market as balanced, with a likelihood of heightened volatility looming. The analysis indicates that the market is bracing for a surge in volatility.
With the deceleration of momentum in the Bitcoin market, the Monthly Realized Volatility has dipped to 34.1%, falling beneath the 1-standard deviation Bollinger Band. This period of subdued volatility, representing just 19.3% of the market’s history, hints at a potential spike in volatility in the near future.
Moreover, on-chain activities, encompassing transactions related to deposits and withdrawals from exchanges, have experienced a periodic downturn. The recent activity has seen a 27.3% decrease compared to the past half-year, suggesting a notably subdued level of investor engagement.
When examining Bitcoin’s short liquidation metric, a recent surge to $40 million was observed as Bitcoin managed to break through multiple resistance levels starting from $27K. This metric is crucial as it represents the value of short positions that have been forcibly closed due to sudden price increases, causing losses for those betting against the market.
This trend indicates that Bitcoin’s upward movement beyond the $27K mark is activating stop-loss orders for sellers.
This sentiment suggests that the recent price movement of Bitcoin has caught short sellers off guard, forcing them to exit their positions and potentially driving the price of Bitcoin even higher.
What To Expect From BTC Price Next?
The inability of bearish traders to pull the price beneath the immediate support level of $25,871 has sparked robust purchasing activity from the bulls. They managed to propel Bitcoin back into the symmetrical triangle pattern, although higher levels are drawing in sellers. As of writing, BTC price trades at $27.6K, declining over 0.04% in the last 24 hours.
Sellers are making efforts to halt the recovery at the triangle’s resistance line. However, if the bulls prevent the price from dropping below the 20-day EMA at $27,318, it could increase the likelihood of a breakthrough above the resistance line. If this occurs, the Bitcoin price might surge to $30,000, followed by a potential rise to $31,000.
On the downside, the first support level to monitor is the 20-day EMA. If this level is breached, it could indicate that bearish traders are selling during price rallies. Consequently, the pair could plummet to the crucial support zone that lies between $25,810 and $25,250.
Veteran Trader Tone Vays Predicts Massive Bitcoin Breakout- Here Are His Targets
In a recent strategist session, seasoned crypto trader Tone Vays shared his insights on Bitcoin’s current market conditions and its potential for a price surge. With his vast experience in the industry, he outlined key factors to watch for in Bitcoin’s journey toward an upward trend in his recent video.
According to Tone Vays, “It really is time for Bitcoin to rise. I prefer new highs. I prefer breakouts.” Let’s delve into his expert perspective and examine the important details.
Vays emphasized the significance of Bitcoin surpassing its immediate resistance levels. While acknowledging the lack of bullishness from a weekly perspective, he pointed out the need for Bitcoin to break through these resistance levels to signal a stronger market momentum and a call for a rally.
Catalysts for a New High
After crossing $30,000, Vays expects Bitcoin to reach a new yearly high. He noted that a push above $30,000 could be met with opposition at $34,000. The Lucid SAR, a directional trend indicator, must be reversed for a positive indication, according to the analyst.
Also Read: Bitcoin Price Prediction For June : Analyst Points Out Potential High & Low Levels – Coinpedia Fintech News
As of the time of writing, Bitcoin is trading at $27,750, experiencing a minor decline of over 1.5% in the past 24 hours. However, it has recorded a gain of more than 2.5% over the past week. These market fluctuations indicate the ongoing consolidation phase Bitcoin is currently navigating.
Bitcoin’s Next Move
Bitcoin traders and enthusiasts eagerly await the cryptocurrency’s next moves as it strives to regain its upward momentum. The upcoming resistance levels and the importance of sustained strength will play a pivotal role in determining Bitcoin’s trajectory in the near future.
Bitcoin Bull Run On Horizon : Analyst Points At Bullish Signals
May proved to be a month of fluctuation for Bitcoin (BTC), with rapidly shifting market sentiments. However, amidst the volatility, one seasoned analyst, DonAlt, emerged as a standout figure with his accurate predictions and astute observations.
Despite encountering resistance at $30,000, Bitcoin surprised market observers with its resilience during the ongoing consolidation period. DonAlt highlights the lack of follow-through from bearish forces, emphasizing that their failure to drive prices down further is an encouraging sign for Bitcoin bulls. This sustained consolidation near $30,000 indicates a different narrative this time.
Also Read: Bitcoin (BTC) Price Might Surge 40% In Coming Weeks – Here’s Why
A Pause, Not a Bearish Trend
Drawing from previous market cycles, DonAlt presents an intriguing pattern. Major price tops often exhibit large fluctuations and swift moves. In the current scenario, where Bitcoin entered a consolidation period after a breakdown, DonAlt views it as a potentially optimistic indication. Instead of a clear-cut bearish trend, this phase of consolidation may imply a little pause.
DonAlt’s evolving perspective on Bitcoin’s trajectory stems from his meticulous analysis of market dynamics. He believes that each passing week without a substantial downturn strengthens the case for a bullish outlook. This growing conviction leads him to consider transitioning fully into a bullish stance if Bitcoin’s price demonstrates upward momentum. The longer the consolidation persists without a definitive breakdown, the weaker the argument for a sustained bearish trend.
Potential Upward Momentum
While cautiously treading the bullish waters, DonAlt expresses his intention to begin accumulating Bitcoin at the first signs of strength. He acknowledges that market movements might take time to align with the anticipated direction but firmly believes that the longer the consolidation phase endures, the less likely a breakdown becomes.
DonAlt’s meticulous approach positions him to capitalize on potential upward momentum when it manifests.
When Should You Sell Your Bitcoin? Arthur Hayes Reveals Key Market Secrets
Renowned cryptocurrency expert Arthur Hayes, the CEO of BitMEX, recently sat down for an interview that shed light on the future of the Bitcoin price and offered guidance on the optimal time to sell the popular digital currency.
With his predictions and analysis, Hayes provided crucial information on key market dynamics.
Read on to benefit from it!
Risks Faced by Smaller Regional Banks
Hayes initiated the interview by addressing the risks faced by smaller regional US banks, issuing a warning of potential collapse. He emphasized the vulnerability of these institutions compared to larger banks that hold treasuries and mortgage-backed securities.
This observation serves as a reminder of the intricate relationship between the banking sector and the broader financial landscape, urging vigilance and careful monitoring of potential risks.
Also Read: US Banks Collapse: Max Keiser Suggests To Buy More Bitcoin ASAP – Coinpedia Fintech News
Notably, Hayes expressed his optimism regarding the positive impact of cryptocurrency exchanges relocating from one country to another. He argued that this emerging trend will play a pivotal role in advancing the growth and adoption of cryptocurrencies, particularly Bitcoin.
As exchanges expand their reach, more individuals will become acquainted with the crypto ecosystem, fostering a supportive environment for the industry as a whole.
BTC Price Trends & Future Outlook
Hayes provided unique insights into Bitcoin’s price trend, indicating that he does not anticipate the cryptocurrency reaching the $70,000 mark this year. However, he envisions a more promising market environment in 2024, suggesting that patient investors may find better possibilities in the near future.
He also cautioned that market volatility caused by geopolitical tensions could temporarily lower Bitcoin’s price in 2025 or 2026.
During the interview, Hayes surprised listeners by disclosing his personal investment in PEPE Coin, a meme coin that recently garnered significant attention in the crypto market. While meme-coins are known for their speculative nature and volatility, his involvement adds an interesting dimension to his investment strategy.
This Might Interest You: PEPE Price Set To Skyrocket With 50% Surge, Predicts Altcoin Sherpa – Coinpedia Fintech News
Bitcoin Price Prediction: BTC Price All Set To Ignite Historical Bull Run
Renowned crypto analyst PlanB suggests that Bitcoin (BTC) is on the verge of crossing a crucial resistance level that has historically marked the beginning of bull runs.
PlanB, known for his pseudonymous identity, shared his observations with his 1.8 million followers on Twitter.
PlanB believes that once Bitcoin surpasses its two-year realized price of $29,500, a new bull market could be initiated. He highlights that during previous bull markets, Bitcoin consistently traded above all its realized prices, including those from 2017, 2013, 2011, and 2021. Conversely, during bear markets, Bitcoin remained below its realized prices. This historical pattern has caught the attention of traders and investors.
Also Read: Bitcoin (BTC) Price Might Surge 40% In Coming Weeks – Here’s Why
The realized price metric, which calculates the value of all Bitcoin tokens based on their purchase price divided by the total number of tokens in circulation, plays a significant role in PlanB’s analysis. Bitcoin’s current two-year realized price stands at $29,500.
He suggests that if Bitcoin manages to surpass this level, it could serve as a pivotal moment indicating the start of a bull market.
Market Anticipation Rises
Traders and investors are eagerly watching as Bitcoin inches closer to the two-year realized price. PlanB’s analysis and predictions hold considerable weight in the crypto community, given his past success in accurately forecasting Bitcoin’s price movements. The market is filled with anticipation, as breaking through this resistance level could potentially trigger a new bull run in the cryptocurrency market.
This Might Interest You: Top 3 Reasons Why Bitcoin (BTC) Price Will Surge By 150% Soon – Coinpedia Fintech News
Bitcoin’s current trading price of $28,147 showcases a more than 4% increase in the past 24 hours.
Bitcoin Records Bullish Weekly Close With Huge CME Gap; Should We Be Worried?
Bitcoin began the fresh weekly trade on a huge bullish note by marking an intraday high of around $28,447. Alongside, a huge CME gap of more than $1000 was also recorded with the start of the day’s trade, which is carrying a fear of a shot term pullback in the near future. Now that the bulls have again turned on the passive mode, a bullish continuation for the rest of the day appears to be pretty difficult, but the monthly close could be under the bullish influence.
The BTC price soared beyond $28,400 during the early Asian trading hours but soon encountered bearish action. One of the important reasons for the bearish pullback may be considered the formed CME gap between $26,970 and $27,915. The price in recent weeks has always filled the gap, triggering a significant plunge; hence, an interim pullback currently appears imminent.
As seen in the above chart, the BTC price has formed CME gaps every week and has also plunged to fill them in the next week. However, the current gap is pretty huge compared to the previous one, so a drop below $27,000 appears to be on the horizon. Although the price started the weekly trade on a bullish note, it continues to remain under the lower high formation. But will it ever break above the bearish pattern?
One of the popular analysts Ali Charts, believes that the BTC price may soon enter the ‘Hope’ stage, considering the psychology of a market cycle chart.
#Bitcoin is about to enter the “Hope” stage in the psychology of a market cycle…
Buy $BTC! pic.twitter.com/poSDoVjMhh
— Ali (@ali_charts) May 29, 2023
According to this chart, the Bitcoin (BTC) price has accomplished the complacency, anxiety, denial, panic, capitulation, anger, depression, and disbelief phases. Therefore, once the price displays some stability, then it is believed to rise to the ‘hope’ phase which may further trigger a significant upswing ahead.
Before, every bull run, the BTC price has been trading along these phases and has triggered a significant upswing once the price enters the ‘hope’ phase. Therefore, regardless of the current price movement, Bitcoin is believed to remain bullish in the long term.
Bitcoin (BTC) Price Might Surge 40% In Coming Weeks – Here’s Why
After heightened fears of falling below $26k last week, Bitcoin managed to pull off a bullish trend over the weekend. According to the latest crypto market data, Bitcoin price exchanged around $28k during the early Asian trading session on Monday, up approximately 2.5 percent in the past 24 hours. Similarly, the altcoin market managed to rally behind Bitcoin over the weekend led by Ethereum. As a result, the total crypto market capitalization jumped approximately 2.2 percent to about $1.21 trillion on Monday.
U.S Debt Crisis
The sudden reversal in the crypto market over the weekend is largely attributed to the announcement that the United States government will raise its national debt to avoid defaulting for the first time. Notably, the rise in national debt only means higher inflation as the Fed will be compelled to print more money to accommodate the rising national debt.
Nevertheless, President Joe Biden and House Speaker Kevin McCarthy reached a final agreement that the government will cut spending along the way.
“It is an important step forward that reduces spending while protecting critical programs for working people and growing the economy for everyone,” Biden noted.
Bitcoin Price Analysis
According to a popular crypto influencer Lark Davis, Bitcoin price is poised for higher gains in the coming days. In his latest analysis, Davis noted that Bitcoin price has reclaimed the 50-day EMA after 20 days of trading below it.
As a result, the analyst expects Bitcoin to replay a similar move to the one in early March.
“The last time we had a big fat green candle pumping up over the 50-day EMA the price of Bitcoin rallied by 40% in the following weeks,” Davis noted.
Here’s What Next For Bitcoin & Ethereum Price This Week – Expert Reveals Critical Price Levels
Crypto enthusiasts are eagerly watching Ethereum (ETH) and Bitcoin (BTC) as a top analyst, Justin Bennett, shares valuable insights on their current status.
Ethereum at $1,890 next week?
According to Bennett in his recent tweet, Ethereum is at a critical point of around $1,835. This level controls ETH’s next move. Will it rise above $1,890 next week? Will they resist? Ethereum is currently valued at $1,831, below Bennett’s important threshold. However, breaking above $1,835 might push Ethereum to $1,890 in the coming week, while resistance could spell a struggle.
Ethereum’s price is currently at $1,831, close to this critical level.
Bitcoin Price Analysis
In relation to this, Bennett highlights the importance of Bitcoin’s performance in today’s close in his recent Daily Price Action newsletter. It’s all getting heated as Bulls are striving to reclaim the $26,500-$26,700 range and the daily close will provide crucial insights into the market’s direction. The crypto community eagerly awaits the outcome.
GM fam. ☕️$BTC bulls are trying to reclaim that $26,500-$26,700 area today.
Daily close will be key!#Bitcoin https://t.co/N87DeO7DEc pic.twitter.com/2deq4ZPD2G
— Justin Bennett (@JustinBennettFX) May 26, 2023
Notably, Bitcoin’s recent close below $26,500 which happened first time since mid-march, a support level held for months, has raised concerns. Currently, BTC is testing this level as resistance, with bulls aiming for a close above it. If successful, the $26,500-$26,700 range may regain its status as support. However, if BTC fails to reclaim this range, a potential decline towards $25,000 is projected by the analyst.
The trajectory of Bitcoin, if it tests the support level, depends on how the market responds to the channel support and the $25,200 horizontal level. Bennett advises against ruling out a reclaim this week, considering the market’s indecisiveness in recent times. A daily close above $26,500 and $26,700 would confirm a false breakdown and pave the way for $27,600, with a potential liquidation cluster at $27,800.
Top 3 Reasons Why Bitcoin (BTC) Price Will Surge By 150% Soon
A highly regarded crypto analyst is making a bold forecast, suggesting that the world’s leading cryptocurrency, Bitcoin (BTC), could experience a remarkable surge and shatter its previous all-time highs this year.
Bitcoin: Historical Outlook
The analyst shared his bullish outlook on BTC with his Twitter followers. Comparing the current state to the 2020 impulse, Credible Crypto points out that it took about three months for Bitcoin to complete a support/resistance flip and retest at the $10,000 level. Just two months later, Bitcoin rallied by an impressive 90% and went on to reach new all-time highs within six months, representing a surge of over 500%. The analyst confidently asserts that achieving new all-time highs is not an impossible feat, as it has been accomplished before.
Keep hearing “how can we reach new ATH before the end of the year? It’s impossible.”
About where I think we are now compared to our last impulse. Note that the S/R flip and retest at 10k took about 3 months to complete.
2 months later we had rallied 90% to new all time highs.… pic.twitter.com/6KYjkju3QY
— CrediBULL Crypto (@CredibleCrypto) May 24, 2023
Also Read: Even Biden’s Re-election Can’t Threaten Bitcoin, Claims Pro-XRP Lawyer
However, what’s going to drive this surge?
Perfect Retest: Bitcoin has yet to undergo a perfect retest of the black support/resistance level at $25,200. While not a prerequisite, there remains a possibility that the local low for this retest has not yet been established. If the analyst’s thesis holds true, the downside potential from current levels should generally be limited.
Historical Patterns: Credible Crypto cautions that while history does not repeat exactly, it often exhibits similarities. While not expecting an exact time and price correlation, the movements in Bitcoin’s price are anticipated to display resemblances to previous patterns.
Accelerating Ascent: As Bitcoin progresses through impulse waves, the rate of ascent tends to accelerate, particularly during a parabolic advance. Interestingly, the current rate of ascent is expected to be the slowest within the entire journey toward a new all-time high. This suggests that a rapid ascent to prior record levels is not only plausible but also expected if this indeed marks the beginning of a significant impulse. Notably, as Bitcoin climbs higher, larger price candles are typically observed.
“With both prior impulses of this cycle ($3,000 – $14,000 and $10,000 – $60,000), bigger candles were observed as Bitcoin climbed higher.”
Credible Crypto’s analysis concludes that Bitcoin could climb and surpass previous all-time highs. Looking at the historical aspect, BTC’s 150% is not unrealistic and will be euphoric for long-term holders. Do you agree?
Is the Bitcoin Bull Run Just One Step Away?
In the last few weeks, Bitcoin price created a fear zone near the $25K-$28K level, facing multiple resistance to initiate a clear breakout. Recovering from 2022’s bear market, Bitcoin has posted significant gains since the beginning of 2023 and displayed the strongest quarterly returns since its all-time high in October 2021.
The robust market performance in 2023 stands in sharp contrast to the previous year, indicating a potential positive shift in the market regime. In this analysis, we will delve into various on-chain metrics that corroborate this hypothesis, evaluating if we are witnessing a strong rebound from a bear market and if we have indeed moved past the bear market phase.
Bitcoin’s Current Market Situation Brings Opportunities
Bitcoin and several other cryptocurrencies are demonstrating an upward trend today in response to significant market developments. The price of Bitcoin (BTC) has surged beyond the $27K mark, propelled by the news of a debt ceiling agreement between President Joe Biden and Speaker Kevin McCarthy. The announcement of this deal, which Biden described as vital for cutting down expenditure, was made on Twitter. As of writing, Bitcoin is trading at $27.2K, showing an increase of nearly 2% in the last 24 hours.
Bitcoin: Long-Term Holder SOPR Shows Profitability
Analysing the long-term holder SOPR, Bitcoin’s long-term holders (LTHs) are presently experiencing profits as the indicator hovers around 1, despite the BTC price encountering several resistance levels. In the past, a resurgence in profitability for long-term holders has often signalled significant market upswings.
Currently, the indicator stands at 0.96, indicating a slight decrease in profitability for LTHs. However, it has managed to sustain a steady range above 1-level over the past few days.
Nonetheless, there has been a significant sell-off by long-term holders in recent weeks. This occurred as the metric reached a value above 2 when the BTC price reversed its trend, surpassing 28K or hitting a weekly high.
If the value of this metric exceeds 1, it indicates that investors are collectively making profits from their current sales. Conversely, values below this threshold suggest that the market as a whole is acknowledging losses.
When the SOPR is precisely 1, it implies that investors are merely breaking even on their investment. At this value, the total profits realised are equivalent to the losses incurred.
$28K Is The Bullish Sentiment For BTC Price
The $28K mark is currently being viewed as a bullish sentiment indicator for Bitcoin’s (BTC) price. This sentiment is further reinforced by the spike in short liquidations observed near this price level.
Short liquidation refers to the process where short positions, i.e., bets on the price of BTC falling, are closed out. This usually happens when the price of BTC rises to a level where those holding short positions start to incur losses. In order to prevent further losses, these short sellers are forced to exit their positions by buying back the BTC they initially sold.
When the BTC price approaches the $28K level, an increase in short liquidations is observed. This suggests that as BTC climbs to this level, sellers are exiting their short positions. This action of buying back BTC to close out short positions creates additional buying pressure in the market, which can drive the price of BTC even higher.
According to our on-chain data, short liquidations reached $67 million on April 26 when the BTC price surpassed the $28K mark. Furthermore, today witnessed a surge in Bitcoin’s short liquidation by more than 360% compared to yesterday. This surge was triggered by positive momentum in the Bitcoin price, which broke above the $27K level recently, leading to the activation of stop-loss orders for short sellers.
Bitcoin Exchange Inflow Touches 9-Year Low
The Bitcoin exchange inflow has recently hit a 9-year low, a development that could have significant implications for the upcoming bull run of Bitcoin (BTC). On-chain data shows that the BTC exchange inflow is currently at 4587 BTC, the level which was last seen in 2014.
Exchange inflow refers to the amount of Bitcoin being deposited into exchanges. When the inflow is high, it typically indicates that investors are moving their Bitcoin onto exchanges, often with the intention of selling. Conversely, a low inflow suggests that fewer investors are depositing their Bitcoin into exchanges, which could imply less selling pressure in the market.
The current 9-year low in Bitcoin exchange inflow is a positive sign for Bitcoin’s potential bull run. Here’s why:
- Reduced Selling Pressure: With fewer Bitcoins being moved onto exchanges, there is less likelihood of large sell-offs. This reduced selling pressure can create a more favourable environment for a price increase.
- HODLing Behavior: The low inflow could also be a sign that more investors are choosing to hold onto their Bitcoin near the $26K-$28K level, anticipating future price increases with a breakout at $28K. This “HODLing” behaviour can contribute to a decrease in supply on exchanges, which, combined with steady or increasing demand, can drive prices up.
- Market Confidence: A decrease in exchange inflow can be interpreted as a sign of confidence in the market to push BTC above $30K. If investors were fearful of a significant price drop, they would likely be moving their Bitcoin onto exchanges to sell. The low inflow suggests that many investors remain confident in Bitcoin’s potential for growth.
The Bitcoin market is teetering on the edge of a significant shift. The recent weeks have seen Bitcoin claw its way out of a fear zone, facing multiple resistances and yet managing to show signs of a strong rebound. The current market dynamics, coupled with the bullish sentiment around the $28K mark, suggest that we might be just one step away from a Bitcoin bull run.
The profitability of long-term holders, the spike in short liquidations at key price levels, and the 9-year low in Bitcoin exchange inflow all point towards a market ripe for a bullish surge. The reduced selling pressure, the prevalent HODLing behaviour, and the overall market confidence further strengthen this outlook.
Schiff to Release Bitcoin Ordinals Art Collection
The post Schiff to Release Bitcoin Ordinals Art Collection appeared first on Coinpedia Fintech News
Economist Peter Schiff, who is a crypto Skeptic has created an NFT Ordinals art collection on Bitcoin and there will be an auction to be announced soon. The community’s reaction to the news was varied with some baffled and welcoming reactions, others highlighted it as hypocrisy. For years Schiff has censured crypto and Bitcoin, he always had a pessimistic opinion of crypto, he estimated that Bitcoin is a “Ponzi-Scheme” which means it has no inherent value. Schiff unveiled the “Golden Triumph” collection from his favorite artist via Twitter on May 27.
Even Biden’s Re-election Can’t Threaten Bitcoin, Claims Pro-XRP Lawyer
In a striking declaration today, a distinguished attorney known for his fervent advocacy for Ripple’s digital currency, XRP, stated emphatically that the re-elected Biden Administration lacks the authority to “kill” Bitcoin. John E. Deaton, a recognized pro-XRP attorney, stirred conversation this week with a provocative assertion: a potential second term for President Biden holds no sway over the indomitable nature of Bitcoin.
Deaton’s Bold Assertion: Biden And Bitcoin
In a public response to a Forbes piece, the noted pro-XRP lawyer and crypto supporter, John E. Deaton, emphasized that even if President Biden were to secure a second term in the 2024 U.S Presidential elections, it would not signify the end for Bitcoin (BTC), the most prominent and sizable cryptocurrency.
Deaton aired his thoughts on Twitter, countering an assertion made by Florida’s Governor and Presidential Candidate, Ron DeSantis, who suggested that “the current regime clearly has it out for Bitcoin.”
Florida’s Governor Ron DeSantis, during his presidential bid declaration on Twitter, firmly underscored the importance of cryptocurrency as a central political topic. “The current regime seems to be against Bitcoin,” DeSantis stated, “and if it persists for the next four years, it might indeed lead to its demise.”
Deaton, on the other hand, interprets DeSantis’ comments as politically motivated, aiming to curry favor and attract financial backing from the Bitcoin community. His viewpoint could be rooted in the understanding that Bitcoin’s surging popularity and market value have positioned it as a formidable player in the financial and tech arenas. Therefore, it might be advantageous for politicians to affiliate themselves with this burgeoning sector.
Moreover, Deaton underscores the critical importance of politicians comprehending the core technology that powers cryptocurrencies like Bitcoin. Such understanding is key if they are to draft informed policies and regulations concerning this rapidly evolving industry. Without a firm grasp of the technology, the task of creating meaningful legislation or understanding the long-term opportunities and risks associated with cryptocurrencies becomes significantly more difficult.
Friendly Opinions Of DeSantis On Crypto
Florida Governor Ron DeSantis has consistently championed the importance of nurturing creativity and pushing the boundaries of technological advancements in the financial arena. This includes exciting sectors like cryptocurrencies and the underlying blockchain technology. DeSantis recognizes the vast economic potential that digital assets bring to the table and has articulated his objective of cultivating a business environment conducive to the growth and success of the Bitcoin industry.
In the Governor’s view, money, as a tool of exchange, wields considerable influence. Any innovative development that has the potential to disrupt entrenched power dynamics inevitably commands attention, sparking spirited debates in political circles.
DeSantis went further to stress the core philosophy of Bitcoin, which serves as a decentralized counterpoint to traditional, centralized currencies. This inherent characteristic of Bitcoin challenges the status quo of existing political and economic frameworks, inevitably eliciting a range of reactions and interpretations among political leaders.