Bitcoin has surged 70% over the last four weeks. That way, BTC claimed the $50K mark after hovering beneath the level for more than three months. As much as the broader market appears to revive its bullish attitude, Bitcoin surges towards ATHs might delay. That is according to chart and blockchain factors. Let’s dig deep.
Increasing Exchange Inflows
For now, the amount of BTC held in crypto exchanges is increasing, canceling the gesture of investors willing to sell and the recent outflows trend.
According to data by Glassnode, cryptocurrency exchanges received 16,606.8 BTC yesterday, Monday. That accounts for the highest net inflow per day in more than one month. Also, over 29,000 BTC moved to crypto exchanges last week. However, according to insight analysts William Clemente, this trend shouldn’t continue.
Generally, investors move their currencies from wallets to crypto exchange when planning to sell. With increased demand pressure, the surging exchange balance might cap upside Bitcoin moves.
The exchange amount dropped by over 100K BTC in three weeks, up to 19 August. That printed a massive bullish attitude. That period had BTC dropping below $30K and recovering to over $45K.
Whale Accumulation Standstill
Large investors or whales are capable of breaking into making the crypto trends. Those who accumulated currencies after the May crash appear to reduce their inventory.
The coins by entities with 1K BTC to 10K BTC has plunged by almost 75K BTC in the last three weeks, diverging from the increasing price.
Entities are multiple addresses held by one network participant. The whales started accumulating Bitcoin after the leading crypto plunged to $30K in mid-May, indicating a price bottom. Bitcoin relied on the support for some weeks before bouncing this month.
Chart Barriers
According to technical indicators, the leading crypto might consolidate before testing the crucial resistance level at $51,110, the 61.8% Fib retracement of the April-July sell-off.
The 14 days RSI remains sidelined without a decisive direction. The RSI’s consolidation triangle indicates delay in the crypto market regardless of the positive coin’s actions.
The stochastic signals overbought scenario. However, Stockton believes that BTC’s long-term trend strengthened. That comes as the 200-d MA rises again. With that, the coin might overcome the $51,110 resistance.
Feel free to comment below.
Tokenhell produces content exposure for over 5,000 crypto companies and you can be one of them too! Contact at [email protected] if you have any questions. Cryptocurrencies are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by Tokenhell authors (namely Crypto Cable , Sponsored Articles and Press Release content) and the views expressed in these types of posts do not reflect the views of this website. CreditInsightHubs is not responsible for the content, accuracy, quality, advertising, products or any other content or banners (ad space) posted on the site. Read full terms and conditions / disclaimer.
