Bitcoin (BTC) price failed to hold above the crucial $30,000 level and declined to $29,500 over the past two days. The pressure resulting from last week’s crypto market crash is holding bitcoin in a bear’s throat.
Unfortunately, market analysts and on-chain data suggest that bitcoin price could drop towards the $27,000 level as bitcoin is currently forming a lower level. According to analysts, the bearish rejection at higher levels continues to push bitcoin (BTC) price down.
The price of bitcoin (BTC) is in a bear’s throat
As mentioned in the previous article, Bitcoin is now in a bear market and will rise once a bottom is formed. PlanB, the creator of the stock-to-flow (S2F) model, revealed in a tweet that the price of bitcoin is forming a bottom for an upcoming bull run.
In addition, PlanB announced in a Tweet On May 18, the 2-year moving average is approaching the 2-year real BTC price. This indicates that the price of bitcoin (BTC) still needs to dive a bit more before seeing a rally.
The chart shows that BTC/USD price is trending higher as the 2Y moving average and 2Y realized price lines move closer to each other. The price is expected to move up from the level once the blue circle is confirmed on the chart.
Interestingly, Bitcoin (BTC) is currently trading in lower volumes as sentiment remains weak. Furthermore, according to PlanB, the bitcoin mempool is again empty, and the size of the unused transaction output (UXTO) is reduced.
According to on-chain data sentimentBitcoin’s capitulation during the past week saw many inactive wallet addresses reactivated. The Bitcoin Edge Consumed metric shows a large number of wallet addresses moving BTC at the $26k-$29k price level. It indicates liquidation of assets and exit position of investors.
In fact, WhaleStats even last week reported several whale addresses being reactivated after a long period.
Bitcoin (BTC) Price Trade Range Limits Near $30,000
BTC price remains under pressure as it is trading near $30,000. Weak sentiment in the crypto market indicates low interest among investors. At the time of writing, BTC price is trading at $29,793 with a drop of around 2.57% over the past 24 hours.
The material presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or the publication has no responsibility for your personal financial loss.