There has been a double-digit rally in altcoins and that shows that traders are becoming more and more optimistic. Whether this momentum can be sustained depends to a certain extent on how Bitcoin (BTC) develops in the short term.
Data from Cointelegraph Markets Pro and TradingView show that Bitcoin has fallen below $ 45,800 and the bulls are trying to stop the decline. Shortly before, it climbed to $ 48,000 on August 16.
What do analysts forecast next for the Bitcoin price?
Bitcoin must retest support after 50 percent rally
When Bitcoin rose from $ 29,500 on August 14 to $ 48,000 on June 20, the price locked in a range between $ 40,000 and $ 48,000, as did Twitter analyst Nunya Bizniz stated in his post:
Bounce at EQ? pic.twitter.com/LjCdQf8yXF
– Nunya Bizniz (@Pladizow) August 16, 2021
The point of equilibrium in the tweet above is around $ 46,123 and the analyst indicated that buying volume in Bitcoin could increase after this test because short-term traders are viewing the current decline as just a support / resistance test.
on the other hand says the trader gas fring that a rebound could happen even at the bottom of a rising channel. This could lead to the same result, but note that both analysts use 1-hour charts. Since these predictions only relate to the price development of the day.
Miners accumulate again
A recent report from Glassnode said that miner accumulation is another possible bullish indicator for Bitcoin. The on-chain analytics website observed a “reduction in forced selling pressure by miners”.
China’s crackdown on mining companies since May has severely affected the Bitcoin hashrate. This has resulted in miners having to cease operations and emigrate to other countries where people are more friendly towards crypto mining.
“We have seen miners ‘net balances continue to grow over the past two months. Net growth in miners’ balances is now over 5,000 BTC per month. This suggests a reduction in forced selling pressure from miners.”
In this context: BTC in spite of great “greed” shortly before the breakout over 50,000 US dollars 5 important things in Bitcoin this week
Close of the day over $ 46,500 next hurdle
According to crypto Twitter analyst Rekt Capital, the $ 46,500 level is important for Bitcoin in the short term.
As can be seen above, the price development for Bitcoin ended in the formation of an ascending triangle on the daily chart. Price must now close above $ 46,500 to successfully test triangular resistance.
A daily close above $ 46,500 would help the uptrend continue. A fall below the ascending triangle, on the other hand, could cause the Bitcoin price to fall into the low range around $ 40,000.
The total market capitalization of all cryptocurrencies is now 2.007 trillion. US dollars and Bitcoin’s market share is 43.5 percent.
The views and opinions contained herein are those of the author only and do not necessarily reflect the views of Cointelegraph.com. Every step of investing and trading involves risk and you should research well before making a decision.