Bitcoin Up for Second Consecutive Week: Analysis for July 23, 2024
Following its re-entry above $60,000, Bitcoin's increase topped 13%. Together, let's assess the price of bitcoin's future prospects.
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As of this writing, the price of Bitcoin is approximately $66,700. As a result, Bitcoin appears to be seeing a minor decline. However, the fact that Bitcoin has returned to the lower end of the range that began in March at $60,300, as well as its 50-day and 200-day moving averages, is indicative of the medium-long term trend's persistence.
Despite the recent drops, the price dynamics aspect appears to be getting better. Both the oscillators and the price of BTC itself reflect this. Thus, each of these factors attests to a resurgence of buyer interest in the cryptocurrency market.
As of this writing, the price of Bitcoin is approximately $66,700. As a result, Bitcoin appears to be seeing a minor decline. However, the fact that Bitcoin has returned to the lower end of the range that began in March at $60,300, as well as its 50-day and 200-day moving averages, is indicative of the medium-long term trend's persistence.
Despite the recent drops, the price dynamics aspect appears to be getting better. Both the oscillators and the price of BTC itself reflect this. Thus, each of these factors attests to a resurgence of buyer interest in the cryptocurrency market.
A keen trader and investor in the cryptocurrency space, Elie FT, worked with us to do the current technical analysis. A trainer at Family Trading, a group of thousands of independent traders that has been operating since 2017, today. In a formal yet welcoming setting, you will find lives, educational materials, and mutual support related to the financial markets.
Last week saw a more than 15% growth in the permanent open interest in bitcoin, adding roughly $1.7 billion in new positions. This increase suggests that most speculators are expecting a rise in the price of Bitcoin, as do an increase in underlying value, a positive funding rate, and negligible liquidations.
According to the liquidation heatmap from the previous few months, BTC/USDT has crossed over into the liquidation zone at roughly $67,500. The analysis from July 16 made notice of this. The price of the cryptocurrency has been updated down, suggesting that selling interest has been generated at this point.
Just around $72,200 is perhaps the most noticeable liquidation zone above the current price. Prior to that, the liquidation zone, which is situated little above $70,000, is still visible. We can see the subtle zones highlighted about $62,200 and $56,200 below the present price.
The market may trigger a large number of orders if it gets close to these levels, which would raise the cryptocurrency's volatility. As a result, investors will find great interest in these places.
In the event that the price of Bitcoin stays over $62,500, a positive continuation that breaks $68,500 is possible. Then, we would look at resistance around $71,700. Should the bullish trend persist, this may indicate that the BT C's ATH of $73,750 is reached. This would indicate a rise of more than 10% at this point.
Bitcoin's price may drop back to about $60,300 if it is unable to stay above $62,500. If the negative trend persists, the next level of support would be somewhat below $58,000. We can see the support at $56,500 farther down. This would indicate a 15% decrease at this stage.
Although there was a minor decline at the start of the week, Bitcoin appears to be maintaining its medium-term upward trend. Buyers' interest in the cryptocurrency market is confirmed, and the price movement is still favourable.
To support or refute existing theories, it will be imperative to closely monitor the price response at the various critical levels. In each case, it's also critical to stay on the lookout for potential "fake outs" and market "squeezes".
Last but not least, keep in mind that these evaluations are only grounded in technical standards and that other, more fundamental variables may also cause the price of cryptocurrencies to fluctuate quickly.