Bitcoin Price Analysis: BTC Needs to Reclaim This Level to Resume Bull Run

As a researcher with extensive experience in the crypto market, I have seen firsthand how quickly things can change. While Bitcoin’s recent price action has spread fear over the entire market, it is important to remember that things can turn around just as quickly.

The volatile swings in Bitcoin‘s pricing have raised concerns among crypto investors, fueling speculation that the prolonged bull market may be coming to an end.

As a crypto investor, I acknowledge that the current situation may not be ideal, but the crypto market is known for its volatility. Things can turn around rapidly, so it’s essential to keep an eye on developments and remain open to possibilities. There’s always a chance of recovery, even if it seems uncertain at present.

Technical Analysis

By TradingRage

The Daily Chart

As an analyst, I’ve observed that the daily price chart reveals a downward trend for the cryptocurrency, as each successive high and low has been progressively lower since it dipped beneath the $70,000 mark.

Last week, the market dipped beneath the significant $60K threshold and the 200-day moving average, approximately at the $58K position.

As I observe the market trends, the $57K mark has proven to be a significant support level, keeping the price from plummeting any further. If the price recovers and surges above the 200-day moving average without much delay, this recent downturn might have been nothing more than a bear trap. In such a scenario, a bullish rally could potentially ensue.

The 4-Hour Chart

As a researcher observing the price action, I’ve noticed a bearish trend on the 4-hour chart, with the market forming a downtrend line that remains unbroken. Lately, there has been a rebound from the $54K mark, leading us to the current testing of the resistance level at $57K.

If Bitcoin’s price surpasses $57,000, there might be a short-term rally towards the downtrend line. However, the pessimistic outlook persists since Bitcoin remains below this trendline, indicating an overall bearish stance.

Bitcoin Price Analysis: BTC Needs to Reclaim This Level to Resume Bull Run

On-Chain Analysis

By TradingRage

Bitcoin Exchange Reserve

As a Bitcoin investor, I’ve experienced the recent price downtrend and I know it might seem disheartening for some, giving the impression that all hope is lost for the crypto market’s continued bull run. However, it’s important to remember that not every BTC holder shares this perspective. Some of us believe in the long-term potential of Bitcoin and view these price fluctuations as temporary setbacks rather than reasons to abandon our investment strategy.

As a researcher studying the Bitcoin market, I’d like to share some insights based on this chart. It showcases the Bitcoin exchange reserve metric, which signifies the quantity of BTC kept in wallets linked to cryptocurrency exchanges. Generally speaking, an uptick in this figure suggests that investors are distributing their Bitcoins by sending them to exchanges for trading or selling purposes. Conversely, a decrease in the exchange reserve metric implies that investors are accumulating more Bitcoins, likely by withdrawing them from exchanges and holding them in personal wallets.

I’ve noticed an intriguing trend during the latest market downturn. The reserves held by cryptocurrency exchanges have been on the rise.

As a researcher observing the market trends, I’ve noticed that the metric has been declining significantly in the past few days. This downturn suggests that some investors view the current prices as attractive and are consequently purchasing and withdrawing coins from exchanges. If this pattern persists, the balance of supply and demand could tilt toward a bullish stance, potentially signaling an end to the correction.

2024-07-08 18:08