Analysts say $46,500 is the key level for Bitcoin to flip to support

Analysts say $46,500 is the key level for Bitcoin to flip to support

Bitcoin’s fundamentals remain strong but analysts pinpoint $46,500 as the key level to reclaim as support in order to preserve the current uptrend.

The double-digit rallies seen from many altcoins shows traders are becoming increasingly bullish with the passing of each day, but maintaining this momentum will to some extent depend on Bitcoin’s (BTC) short-term price action.

Data from Cointelegraph Markets Pro and TradingView shows that after touching the $48,000 price level during the early morning trading hours on Aug. 16 the price of BTC dipped below $45,800 as bulls scrambled to put a halt to the price slide. 

BTC/USDT 4-hour chart. Source: TradingView

Here’s what analysts are saying could be the next steps for Bitcoin price.

Bitcoin needed to retest support after a 50% rally

Bitcoin’s surge from $29,500 on July 20 to $48,000 on Aug. 14 has resulted in the price settling in a trading range between $44,000 and $48,000, as shown in the following tweet from pseudonymous Twitter analyst Nunya Bizniz.

The equilibrium point identified in the above tweet is found near $46,123 and the analyst could be hinting that after BTC tests the support, buy volumes could increase because short-term traders would view the current pullback as nothing more than a support/resistance retest. 

On the other hand, pseudonymous trader, Gas Fring, suggested that a bounce could also happen at the bottom of a rising channel would provoke the same result but it’s worth noting that both analysts are using 1-hour charts so these suggestions simply refer to the possible price action outcomes of today.

BTC/USD 1-hour chart. Source: Twitter

Miners are accumulating again

A recent report from Glassnode highlighted miner accumulation as another potentially bullish indicator for Bitcoin. The on-chain analytics provider observed “a net reduction in compulsory sell-side pressure sourced from miners.”

Bitcoin miner net position change. Source: Glassnode

China’s crackdown on mining operations which began in May took a heavy toll on the Bitcoin hash rate, leading miners to close up shop and move to different cou with a more friendly stance towards crypto mining.

Glassnode said,

“We have seen the net balance position of miners continue to increase over the last two months. The net growth of miner balances has now hit +5k BTC/month which demonstrates a net reduction in compulsory sell-side pressure sourced from miners.”

Related: BTC eyes $50K breakout despite most ‘greed’ since all-time highs: 5 things to watch in Bitcoin this week

A daily close above $46,500 is the next hurdle

According to crypto Twitter analyst Rekt Capital, $46,500 is an important level for BTC in the short-term.

As seen above, the price action for BTC has resulted in the formation of an ascending triangle on the daily chart and the price needs to close above the $46,500 level in order to confirm a successful test of the triangle resistance.

A daily close above $46,500 would support the continuation of the uptrend whereas an ascending triangle breakdown could see Bitcoin price slide into the low $40,000 zone.

The overall cryptocurrency market cap now stands at $2.007 trillion and Bitcoin’s dominance rate is 43.5%.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

  • Bitcoin
  • Ethereum
  • Tether
  • Cardano
  • Polkadot
  • Binance coin
  • Dogecoin
Scan to Donate Bitcoin to 194astnfvj2nr6izGJFwG9ebRqNU7ynQYY

Donate Bitcoin to this address

Scan the QR code or copy the address below into your wallet to send some Bitcoin

Scan to Donate Ethereum to 0xe5853a1d08b3ea0bb69276b0e40cdf858968d822

Donate Ethereum to this address

Scan the QR code or copy the address below into your wallet to send some Ethereum

Scan to Donate Tether to 0xe5853a1d08b3ea0bb69276b0e40cdf858968d822

Donate Tether to this address

Scan the QR code or copy the address below into your wallet to send some Tether

Scan to Donate Cardano to DdzFFzCqrhsu1xWeeGai3gbgsbrFP26zPaVrCJqqF286carQJmAkTitRQSUCLhYLpKCotroRRNpKj7YcnAJQqpSfsHHdj8nUaitPvH4j

Donate Cardano to this address

Scan the QR code or copy the address below into your wallet to send some Cardano

Scan to Donate Polkadot to 155rGKVEanCxpi5EqGh8yh1AkGpm6bVUa7RQNydA38KzbhNu

Donate Polkadot to this address

Scan the QR code or copy the address below into your wallet to send some Polkadot

Scan to Donate Binance coin to bnb136ns6lfw4zs5hg4n85vdthaad7hq5m4gtkgf23

Donate Binance coin to this address

Scan the QR code or copy the address below into your wallet to send some Binance coin

Tag/Note:- 105346725
Scan to Donate Dogecoin to DKN9sscVgSBVyG7f9PYJq2D3BhWK5ffUmK

Donate Dogecoin to this address

Scan the QR code or copy the address below into your wallet to send some Dogecoin


Credit: Source Link

Comments are closed.

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy
WP Twitter Auto Publish Powered By : XYZScripts.com