Too profitable – The price of Bitcoin (BTC) is rising again, at least for a day. What are the hopes that are allowed at this stage, and the dangerous illusions for bulls?
This Bitcoin price analysis is brought to you in collaboration with the Coin Trading and its algorithmic trading solution finally accessible to individuals.
A green of hope: a first bullish test for the price of Bitcoin
The price of bitcoin goes up to $21,670 on Bitfinex today, June 21, 2022. It fails to hold above $21,000, however. The cryptocurrency price stands at $20,841 at the time of writing. It is currently recording a daily gain of 2.02%.
Given the strong bullish rally that followed Bitcoin’s price drop below $20,000, can the markets hope for a bullish recovery towards $23,000 and then $25,000?
To achieve such a scenario, the Bitcoin price must first recover a major support. Trader Rekt Capital points out the importance of the $22,500.
The price of Bitcoin needs to break through this level again, in order to recover the 200-week moving average as support.
If necessary, the price of the cryptocurrency could, according to Rekt Capital, fall “ to new lows “. Bitcoin would trade thereafter, in an accumulation zone below this 200-week moving average.
Post-hemorrhage bullish recovery: Light at the end of the tunnel for Bitcoin?
The percentage of BTC addresses in profit argue for bears insteadand another bigger drop below $20,000.
Glassnode data shows that this percentage has remained above 50%when Bitcoin fell to around $17,600 on June 18, 2022.
However, this rate is still higher than recorded figures during bear markets or steep declines in the past.
The percentage of profitable BTC addresses is indeed, dropped below 50% during the bear market of 2018. He had even dropped up to 41% in March 2020.
In view of these figures, the bears could therefore have one last big shot to play, before handing over to the bulls.
The eyes of traders and investors remain glued to this 200 week simple moving average. A reconquest of this level would reassure the markets a little more. But the latter must for the moment continue to consider another aggressive attack of $20,000. If this level gives way again, the whales will then have the opportunity to demonstrate the solidity of this new major support.
Is it possible to be gwinning every time? Whether the Bitcoin price is in great shape, or going through turbulence, Coin Trading offers you to increase your chances of success. Indeed, Coin Trading allows individuals to access a trading tool algorithmic and 100% automated. A real trend mechanism, this tool has been designed to adapt to market reversals and position itself on the most dynamic crypto assets of the moment.