Bitcoin (BTC) returned to its weekly lows on Wednesday. The new month begins rather leanly than with a bang.
Bitcoin achieves “price stability”
Data from Cointelegraph Markets Pro and TradingView show that the BTC / USD pair on Bitstamp has fallen to a low of $ 46,530. That is the lowest level since Friday.
US $ 50,000 is still a long way off and the price development continues to “clearly” contradict the strong on-chain indicators and fundamentals.
Analyst Willy Woo commented on something similar for this week. He believes the support for Bitcoin will probably hold up. Over 1.65 million BTC have been purchased for between $ 45,000 and $ 50,000.
“Bitcoin is again approaching a region with remarkable price stability,” he said on Twitter on Wednesday explained.
“The short-term technical data is weak. The on-chain data, however, shows that investors are currently accumulating. This all points to a volatility squeeze. If we make it above $ 50,000, it quickly goes to 60,000 US dollars go. “
The $ 51,000 area, which is the “final hurdle” this week, is expected to be overcome in the medium term. But nobody knows exactly when that will be.
Investors are ready for the fall, as the reserves on the large Coinbase exchange show. These are at their lowest level since December 2017, namely at 700,000 BTC, and almost $ 20 billion in stablecoin are available on centralized trading platforms.
“After a period of moderate BTC inflows following the May sell-off, Coinbase has seen strong coin outflows,” said on-chain analytics firm Glassnode about the data.
Ether leads altcoin surge
The Cointelegraph employee Michaël van de Poppe, however, believes that this is typical for a Bitcoin consolidation.
In this context: Polkadot the next all-time high altcoin? Three reasons that speak for it
“Yes, Bitcoin goes this way,” he says summarized.
“Overall, one can say: completely normal consolidation, which led to a strong outbreak of the altcoins. Ethereum was the first to reach new heights.”
The ETH / USD pair climbs above $ 3,500 overnight. This is the highest value in three months against both the US dollar and Bitcoin. Its share of the cryptocurrency market capitalization has risen to the 20.4 percent while that of Bitcoin has remained stable at 44 percent.