Bitcoin (BTC) played wait and watch with traders on June 28, as Wall Street opened to a flat performance.
Bollinger Eyes “Logical Places” for Bitcoin Bottom
Data from Cointelegraph Markets Pro and TradingView shows that BTC/USD is circling $21,000 on Bitstamp, refusing to commit to a strong trend.
The pair nevertheless avoided fresh signs of weakness, with prominent Cointelegraph contributor Michael van de Pope believing that an attack on important levels – particularly the 200-week moving average near $22,400 – could be next. .
#bitcoin There was an upside rally after crossing the $20.6K low.
Honestly, was expecting a further correction towards $20.3K.
still long on my posts $ftm, $ada, $AVAX And $ETHAs I still believe we will continue to $22.4K and possibly $23.1K. pic.twitter.com/dbwYQiuZZL
— Michael van de Pope (@CryptoMichNL) June 28, 2022
“In the past, bitcoin has been a steal under its true value, i.e. based on the total cost of all coins in supply. The real value currently sits at around $22,500,” said popular trading account Game of Trades couple,
While some expected a clear bullish trend to emerge, the longer-term outlook also placed importance on current price levels.
Among them was John Bollinger, the creator of the Bollinger Bands Volatility Indicator, which flagged the culmination of a trend year in a fresh build on BTC/USD.
He suggested that the next move could be better in 2021 following the “picture perfect” double top pattern on Bitcoin.
Picture of Perfect Double (M-Type) in BTCUSD on Monthly chart is completed with confirmation by Bandwidth and %B leads to tag of lower Bollinger Bands. No sign of one yet, but it would be a logical place to put it down.https://t.co/KsDyQsCO1F
— John Bollinger (@bbands) June 27, 2022
Research: “Almost All” Bitcoin Metrics at All-Time Lows
Whether or not the bottom analysis for bitcoin comes from on-chain analytics firm Glassnode as the week begins.
RELATED: 3 Charts Showing the Drop in Bitcoin Price Contrary to Summer 2021
In their latest weekly newsletter, “The Week On-Chain”, Glassnode dissected a raft of on-chain metrics at various stages indicating bottom formation.
In an unprecedented macro environment, however, nothing was certain.
“Within the current macroeconomic framework, all models and historical precedents can be put to the test,” it concluded.
“Based on the current position of the bitcoin price relative to the historical floor model, the market is already at highly improbable levels, with only 0.2% of trading days under similar conditions.”
It has been noted that those who bought BTC in 2020 and 2021 provided the driving force behind the recent selloff.
“Nearly all macro indicators for bitcoin, from technical to on-chain, are at all-time lows, coinciding with the formation of bear market floors in previous cycles. Many have been at similar levels only in past history. are trading with percentage points of points. Level,” the newsletter added.
Sentiment was no different on the day, with the Crypto Fear and Greed Index 10/100 or “extreme fear”, which constitutes a classic reversal level in bear markets.
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, so you should do your own research when making a decision.
