Bitcoin price sideways below $34,000, expected to hold support above $30,000 into the weekend
Bitcoin price has barely changed as buyers and sellers seem to be at an impasse. The world’s largest cryptocurrency is up around 7% over the past week and is expected to hold support above $30,000 by the end of the week. At press time, BTC is trading at $33,545.
Bitcoin price is expected to hold support above $30,000
According to Skew, Bitcoin’s volatility is still increasing despite trading in a range since mid-May. This suggests that traders should not be complacent with the recent price stability. There was still some uncertainty present in the options market in early July.
The chart shows Bitcoin options implied volatility | Source: Skew
“$34,000 is a key level for accelerated moves to the up or downside with highest gamma exposure for both puts and calls,” said Pankaj Balani, CEO of Delta Exchange. “As spot trades lower, the market has yet to find its footing,” Balani added. “As long as players write upside exposure in size, a rangebound play with more downside risk seems likely.”
The Bitcoin market could gain momentum this month from the end of investor restrictions on selling shares in Grayscale Bitcoin Trust (GBTC), the world’s largest cryptocurrency fund.
Some digital asset analysts and investors say it is possible that some of these investors may need to enter the market to buy BTC to pay off the crypto loans they used to fund. for their initial GBTC stock purchases.
BTC-denominated investors subscribe at NAV by sending coins to the trust. Upon unlock -> sell shares into cash. Use cash to buy back BTC to pay back liabilities/return to base portfolio.
— Amber Group (@ambergroup_io) July 2, 2021
Currently, with BTC down more than 47% from its all-time high of $64,863 and the cryptocurrency market continuing to send mixed signals, it may be an opportune moment to deploy the DCA strategy.
The overall crypto market traded flat on July 2 with the approach of the July 4 holiday weekend in the United States. The trading volume is lackluster concurrently with the total crypto market capitalization slightly down by $5 billion from its current value of $1.395 trillion.
Despite the difficulties facing the market as a whole, bullish developments in The Graph (GRT) and XinFin Network (XDC) can be seen thanks to recent developments. GRT and XDC recorded gains of 16% and 35% respectively over the past 24 hours.
The Graph is an indexing protocol for querying data for networks like Ethereum and IPFS, powering many applications in both DeFi and the overall Web3 ecosystem. The GRT community is very active, especially since this project is constantly updating and sharing about its achievements on Twitter.
The Graph Advocates are coming!
Graph Advocates will use their knowledge of blockchains and open-source networks to raise awareness and adoption of Web3 ?? ??
Reply below ? if you are interested in becoming a Graph Advocate pic.twitter.com/7jjJ8YVGaV
— The Graph (@graphprotocol) June 30, 2021
Meanwhile, XinFin is an enterprise-ready hybrid Blockchain technology company optimized for international trade and finance. However, it is not clear where this large increase in the project comes from.
The current overall mood in the market is one of uncertainty, as displayed in the following tweet from Filbfilb, an independent market analyst and co-founder of the Decentrader trading suite, who remains “undecided what happens next” and is “watching for blood.”
“Long weekend in the US. Opportunity to move the market to where people want to be filled. Given where we are max likely. Lots of liquidity near. I’m undecided what happens next.. the yellow path would be pretty funny, I’m waiting on what happens, watching for blood”, he tweeted.
The overall weakness in the altcoin market stems from Bitcoin price struggling below $33,600 as many traders appear to have gotten an early start to their holiday weekend.
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