Whether Bitcoin can rebound strongly will depend on the current level of market demand. In the past four weeks, whales holding over 1000BTC have been selling tokens
Whether Bitcoin can rebound strongly will depend on the current level of market demand. In the past four weeks, whales holding over 1000BTC have been selling tokens.
About a month ago, we explored the possibility of Bitcoin [BTC] falling below $25.000. This became a reality when prices briefly fell below the above level in mid July. But what does this mean for its future performance?
This prediction is based on the fact that the lower limit range of BTC has been limited above the upward support line. Bitcoin's recent retesting of the same support line has generated some accumulation, which has sparked some upward space.
Although the performance as of the time of publication may mark the recent local bottom, there is no guarantee of a continued rebound, and prices are likely to further weaken.
Despite the uncertainty of future prices, Bitcoin holders have some important considerations to consider. For example, the next Bitcoin halving is rapidly approaching, which may have a significant impact on BTC demand.
From a historical perspective, Bitcoin has experienced strong overweight every time it halves. Similar results in the next 10 months will be beneficial for bulls in the second half of 2023.
Evaluate the status of Bitcoin accumulation
Whether Bitcoin can rebound strongly will depend on the current level of market demand. The demand is mainly driven by whales, which can be increased through activities in the derivatives field. In the past four weeks, whales holding over 1.000BTC have been selling tokens.
Address holding at least 1.000BTC closed at the lowest monthly level on Friday. Since then, they have shown signs of slight overweight. Bitcoin futures open positions have also significantly decreased in the past four weeks, but rebounded slightly on Wednesday.
Whale holdings were previously retested at current levels between March and May. The same level may support a strong psychological buying zone.
Interestingly, exchange traffic data confirms that the current outflow of Bitcoin from exchanges is higher than the inflow. In other words, the demand for Bitcoin is recovering.
Despite these findings, the level of demand for Bitcoin in the market is relatively low, especially compared to periods of strong demand. Although a slight increase may indicate that the market is ready for recovery, it is not necessarily guaranteed that such a result will occur.
Prices may still fall, especially if market conditions cannot support potential increases.
Those who like you will also be liked in the future.
If you like it, please follow the articles that will bring you more appreciation in the future,
Thank you for reading! See you next time!
Disclaimer: The content of this article is sourced from the internet. The copyright of the text, images, and other materials belongs to the original author. The platform reprints the materials for the purpose of conveying more information. The content of the article is for reference and learning only, and should not be used for commercial purposes. If it infringes on your legitimate rights and interests, please contact us promptly and we will handle it as soon as possible! We respect copyright and are committed to protecting it. Thank you for sharing.(Email:[email protected])
