Bitcoin has had to lose around 4,24% of its value within the last 24 hours: the BTC price has not managed to hold above the important support zone at $ 35,000. Currently, BTC is trading back at $ 33,222, and in the short term, there may be further losses. What development do analysts now expect in the number 1 cryptocurrency?
Weak quarter for BTC
Bitcoin has just finished its weakest quarter since the bear market of 2018. The second quarter of 2021, which began on April 1 at around $58,000, ended yesterday at $35,000 – a drop of around 40%. Bitcoin bulls must now successfully defend the $ 33,000 region to prevent further sales. But how likely is that?
Bullish signals currently sees blockchain data provider Santiment, one of the most cited companies for on-chain analysis. According to Santiment, there are fewer and fewer Bitcoins (to buy e.g. from eToro or Libertex) on crypto exchanges, as long-term investors withdraw and store their coins. This is generally considered a good sign, as the cryptocurrency is thus no longer available for a quick sale. The researchers write:
“After Bitcoin’s dip in mid-May, the supply of BTC on the exchanges has fallen steadily downwards and has been locked away for the safe keeping of hodlers. This is a good sign for the bulls, as the funds move away from the exchanges, which reduces the risk of a large sell-off.“
👍 Following # Bitcoin‘s mid-May dip, the supply of $ BTC sitting on exchanges has steadily fallen back down and locked away for safe keeping by hodlers. This is a good sign for #bulls, as funds moving away from exchanges lowers the risk of major sell-offs. https://t.co/ABkcih9ea1 pic.twitter.com/NqU3ljRyIH
– Santiment (@santimentfeed) June 30, 2021
Never again BTC below $26.5 k
Youtube analyst “Crypto Capital Ventures”, on the other hand, explains to his 277,000 subscribers: Bitcoin is in a bull market-and will never slip below $ 26,500 again.
“Charts suggest that Bitcoin is in the middle of the bull market and we will never see those prices again.“
The technical chartist @TheCryptoCactus also assumes with a high probability that Bitcoin has passed the low point and there will soon be a recovery. He emphasizes that there is no need to worry and writes to his more than 46,000 Twitter followers:
“I still think that the low point could have passed.
I think it is a corrective wave in a bull market and there is no real cause for concern regarding the macro structure.“
While there may still be movement down due to manipulation, the analyst says, ” only overleveraged positions should be concerned.”
$ BTC / USD
I still think that the bottom could well be in.
I think this is a corrective wave in a bull market and there is no real reason for concern in terms of macro structure.
The hotel was very clean and the staff were friendly and helpful. pic.twitter.com/iJ4pgoAvk1
– Cactus (@TheCryptoCactus) June 30, 2021
Bitcoin in a bear market?
Despite the tendentially bearish price action, on-chain analyst Willy Woo emphasizes that Bitcoin is not currently in a bear market. According to the renowned industry observer, people are “buying Bitcoin like wild”at the moment. Looking at the movements on the Bitcoin blockchain, there is no indication of a bear market, explains Woo in a recent interview.
A more positive picture also emerges when looking at the charts with a longer time frame. This shows that Bitcoin is still trading around 20% higher than at the beginning of 2021 – and compared to January 1, 2020, it is even 350%. As the saying goes: “When in doubt, zoom out – – so “Are you unsure, zoom out”.