Bitcoin price hasn’t broken through $42,000 yet but has held onto its gains, total 23% in a week
Bitcoin price is trading below $42,000 as there is not enough momentum above this level. Meanwhile, analysts are arguing that BTC is gearing up for a comeback, which would see it repeat the classic bull runs of 2013 and 2017.
BTC/USD 4-hour chart | Source: TradingView
A Q4 “blow-off top” is now back on the menu as Bitcoin price recovery clings to its 23% weekly gains
As the local high of $42,400 emerges, the narratives around the market are returning to a bullish Bitcoin super spin. Bitcoin has been busy repairing the impact of its mining route in China since mid-May, but last week’s price increase was stronger than most people expected.
Rather than suffer a massive drop, BTC price action has held onto its gains, at the time of writing a total of 23% in a week.
“Following a troubling three months of news and price action, bitcoin went on to print five green monthly candles in a row and went up ~10x in the second half of 2013,” Jeff Ross, founder, and CEO of Vailshire Capital, said in Twitter comments Saturday. “I still contend that 2021 will behave in a similar fashion.”
BTC/USD 1-month annotated candle chart | Source: Jeff Ross/Twitter
Investor behavior further mimics the change in sentiment. Strong sellers with little or no history of selling their BTC are now back in control at levels never seen before and enticing since Bitcoin’s current all-time high of $64,500 last month.
The chart from Glassnode shows the holder conviction in terms of an increasing amount of the BTC supply becoming illiquid — taken off the market.
Bitcoin illiquid supply annotated chart
Bitcoin supply shock is now at levels that previously priced Bitcoin at $53,000. Consolidation after 10 straight green days is very reasonable but still remain bullish over the coming weeks.
Meanwhile, Santiment questioned which price cross comes next while Bitcoin’s current market value ~$40,000, and Ethereum’s current market value ~ $2,420. And the result is:
The altcoin market hasn’t been too rosy today either, except that ETH has gained 5% in the past 24 hours, breaking through the $2,500 threshold, recording a 20% gain over the past seven days. In addition to ETH, another altcoin that also recorded a similar increase is Binance Coin (BNB). Regardless of the negative news about the Binance exchange, BNB is still not too affected. It is changing hands at $339, price action has held onto its gains, which at the time of writing total 14% in a week.
A few months after listing Dogecoin, eToro has enabled its users to trade with another popular meme token – Shiba Inu (SHIB). SHIB saw its record price in mid-May as its popularity skyrocketed. However, it has declined by more than 80% since then, even though the recently launched ShibaSwap DEX attracted billions of dollars in total value locked in just a few days after the launch. However, at the moment, SHIB is trading at $0.00000635, up slightly 2% over the past 24 hours.
The overall cryptocurrency market cap now stands at $1,652 trillion, a 2% increase in the last 24 hours. Meanwhile, Bitcoin Dominance is 47.4%.
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