- The price of bitcoin is around $21,500 in the last 24 hours, which is about 2.5%.
- Staying below the actual price of $21,700 or if the bulls fail to hold above in case of a breakout, will result in further accumulation.
- After a sharp rejection above $25,000 last week, BTC declined to lows of $20,700.
Bitcoin moved above $21,500 on Tuesday, seeing some upside after hitting an intraday low of $20,700 on Monday.
However, despite the upside, the cryptocurrency remains vulnerable to downside, as BTC/USD is currently trading below its actual value.
Glassnode alert data shows that more bitcoin wallets were in profit due to the selloff in BTC price over the past few days.
I #bitcoin $BTC Number of addresses in profit (7d MA) now at 1 month low 24,957,895.655 . has reached
View metrics: https://t.co/qLnvDYVzPt pic.twitter.com/1jUHpvYZl0
— glassnode alerts (@glassnodealerts) 23 August 2022
So while BTC price may see some upward movement and a break above the $22k level is likely to push the price even higher, buyers struggle to push past the key resistance at the $25k area. can do.
Why there could be more accumulation in bitcoin this week
According to on-chain data analysis platform Glassnode, BTC/USD is below the real value after 23 consecutive days. The selloff seen in the past week underlines the weakness in the overall markets, as well as the risk appetite in equities.
It’s also worth noting that there has been a paucity of new money coming into the sector, with the recent not attracting a new wave of retail investors. These factors point to a broader momentum for bitcoin.
“The recent price uptrend also failed to attract a significant wave of new active users, which is especially noticeable among retail investors and speculators. The monthly momentum of exchange flows also marked a new wave of investors entering the market. is not indicating a relatively low inflow of capitalThe firm has mentioned in its latest weekly update.
If the price stays below the cost basis, Glassnode says we could see more accumulation.
,During the 2018-2019 bear market, prices fluctuated below the actual price for 140 days, making the 36-day period of the current bear market relatively short, and thus may require longer accumulation time.The firm’s analysts wrote in the newsletter.