2023-07-20 03:48:08
After the first half of 2023, the price of Bitcoin appears to have moved between $29,000 and $31,500. It is divided into 2 factors, the first relates to technical analysis and the third relates to fundamentals.
Bitcoin resistance at $32,000 is very strong.
Charles Edwards, founder of Capriole Investments, recently released a market update. He often sees Bitcoin failing to breakout through that price level. $31,000–32,000:
“Bitcoin is trading at the most important resistance on the charts, the $32,000 level, despite a lot of positive news over the last month for the crypto industry. Whether it was the announcement of the Blackrock ETF, or the legal victory of XRP, and Presidential candidate Kennedy has said that he will return the US dollar with Bitcoin, nothing has helped Bitcoin maintain above 31,000. dollars.”
However, the report goes on to say that Positive news doesn’t necessarily mean that the market is trending up, but it can be a downtrend as well.
Can Bitcoin Stand at $29,500?
In the past month, Bitcoin price has not traded below the $30,000 level, so if the current Bitcoin price breaks the $29,500 support level, there is a possibility that the price of Bitcoin will continue to fall. more
As pointed out by crypto market expert Colin Talks Crypto, the next major support for BTC/USD will be around $27,500. The 200 weekly (MA) and the 200-day moving average also began consolidating below this level.
#Bitcoin looks to have a fair chance of dropping to around $27.3k where there is a confluence of:
1. A strong support range of previous price action (orange rectangle)
2. Where the 200 weekly MA (pink) acts as support.
3. The 200 daily MA (blue) isn’t far behind either.These… pic.twitter.com/nEd2p6tbjw
— Colin Talks Crypto (@ColinTCrypto) July 19, 2023
However, if the trading volume has decreased It indicates that the recent downturn may not be as bad as expected. If trading volume increases amidst another retracement The bear market may come back once more.
Fundamental factors play a role.
As the previously cited Capriole Investments report emphasizes, “price is only half the picture,” allowing fundamentals to come into play as well. One of the most worth considering is metrics related to questions like what happened to on-chain flows? How do investors allocate funds? How does overall market sentiment and the macro environment affect Bitcoin? Is network security growing?
The Capriole Bitcoin Macro Index measures the sum of 40 fundamental Bitcoin variables, including on-chain, macroeconomic and equity market indicators, all of which are integrated into a learning model.
Source: cointelegraph
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