Sunday, June 16, 2024

Bitcoin ready to attack key trendline, says data as BTC price holds $20K

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Bitcoin (BTC) consolidated greater on July 16 after the Wall Road buying and selling week completed with modest positive aspects for United States equities.

BTC/USD 1-hour candle chart (Bitstamp). Supply: TradingView

Can Bitcoin bulls reclaim the 200-week transferring common?

Information from Cointelegraph Markets Professional and TradingView confirmed BTC/USD ranging between $20,500 and $21,000 into the weekend.

The pair thus preserved the vast majority of its comeback from the week’s lows, these following shock U.S. inflation information and sparking weak spot throughout threat property.

Now, out-of-hours buying and selling meant that the traditional situation of breakouts and fakeouts on skinny liquidity may accompany Bitcoin into the weekly shut.

Eyeing order e-book information from Binance, the biggest international change by quantity, confirmed key resistance clustered across the $22,000 mark ought to bulls try and nudge the market greater.

For monitoring useful resource Materials Indicators, nevertheless, there was a definite chance that Bitcoin may even problem its 200-week transferring common (WMA), a key bear market trendline misplaced as assist over a month in the past.

“It is simple to turn into bullish on BTC on a inexperienced day & bearish on a purple day,” standard dealer and analyst Rekt Capital added in separate feedback.

“However $BTC continues to be simply ranging between $19K-$22K. This may proceed till both of those ranges is damaged Intra-range strikes aren’t substantial sufficient to dictate adjustments in sentiment.”

As Cointelegraph reported, that sentiment achieved an unenviable file this week, as crypto markets capped their longest-ever interval in a state of “excessive concern” as per the Crypto Concern & Greed Index.

Miners really feel the pinch

Monitoring miner habits, in the meantime, one analyst at on-chain analytics platform CryptoQuant sounded the alarm over a possible sell-off.

Associated: Bitcoin miners promote their hodlings, and ASIC costs hold dropping — What’s subsequent for the business?

14,000 BTC was transferred from miner wallets on July 15, Binh Dang confirmed, and whereas not particularly indicative of promoting, the phenomenon was price monitoring.

“At this level, we cannot make sure that this distribution is optimistic or detrimental, so we ought to be cautious to be careful for the subsequent few days,” he summarized in one in every of CryptoQuant’s Quicktake market updates.

Individually, a brand new indicator, the Power Gravity Mannequin, protecting Bitcoin manufacturing prices confirmed that miners have been probably in a position to pay comparatively low quantities for power in an effort to mine at a revenue at present BTC spot costs.

“Bitcoin Power Gravity is the utmost USD value ($ / kWh) trendy mining rigs are prepared to purchase electrical energy at to make a revenue. ie: breakeven electrical energy fee,” the mannequin’s creator, BlockWare analyst Joe Burnett, defined in a Twitter thread.

“From this most bid value, it’s potential to get a greater understanding of when the value of Bitcoin is overextended and when the value could also be approaching a backside.”

Bitcoin Energy Gravity Model. Source: Joe Burnett/ Twitter

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.