July will be a crucial month for Bitcoin price, it will revisit fresh lows and shake out overleverage players
The bulls managed to push Bitcoin price above $34,993, breaking the $35,000 level but failed to hold for long. At press time, BTC is trading at $34,575, there hasn’t been much change in the last 24 hours.
BTC/USD 4-hour chart | Source: TradingView
Bitcoin price could pick up momentum in the next few days and some altcoins could follow too
Bitcoin’s ongoing correction of recent times is very similar to its price action in June to December 2019. Bitcoin faces the prospect of reaching $47,500 – $50,000 based on the coin’s uncanny similarity. current direction with the trend in June to December 2019.
Specifically, Bitcoin hit around $14,000 on June 26, 2019, before plunging lower for the rest of the year due to profit-taking and as well as FUD has driven by the Bitcoin Cash hardfork, Facebook stands outside with regulators on the project cryptocurrency Diem (formerly known as Libra), and the threatening tone of US President Donald Trump and Treasury Secretary Steven Mnuchin on Bitcoin.
In 2021, Bitcoin rebuilt the 2019 scenario. At first, the cryptocurrency’s correction from record highs near $65,000 brought the BTC/USD pair right back to the same 50-week SMA support of around 30,000 dollars.
Meanwhile, the demand for Bitcoin also dropped after the Federal Reserve. The US central bank announced that it may raise its benchmark interest rate by the end of 2023 to limit inflationary pressures, coinciding with the BTC/USD drops on June 16 and beyond.
Despite strong headwinds, Bitcoin managed to break above $30,000, psychological support and is currently moving back above $35,000. However, equally strong resistance at $40,000 is keeping the cryptocurrency short-term bearish.
Meanwhile, Ethereum peaked north of $2,350, its highest reading since June 18
Ether’s $230 million options expiring on Friday appear to have shifted market sentiment in favor of the bulls. ETH at one point rallied more than 6.5% to 2,370, its highest level in more than two weeks. Weekend trading volume remains at a characteristic low, at just over $18 billion.
ETH/USD 4-hour chart | Source: TradingView
The battle between the bulls and the bears was shown in the options market last month, with both sides expecting extreme price volatility for Ether leading to the option’s expiration on Friday. Ethereum’s London hard fork, containing the much-anticipated EIP 1559, launched on the Ropsten testnet on June 24, setting the stage for the full mainnet rollout by the end of July.
As AZCoin News reported, the hard fork is anticipated to have a positive impact on Ether’s value thanks to several proposal upgrades, including the transition to the eco-friendly proof-of-stake consensus and a new “scarcity” feature that will reduce the number of tokens in circulation.
At press time, ETH is trading at $ 2,268, recorded a 16% increase in the past seven days.
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