Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
- BTC hit a new high in 2023 at $31.4k, but eased slightly at press time.
- Short-Term Holder Supply in Profit hit 96.9%.
Bitcoin’s [BTC] price action has stayed above $30k since 21 June. It graced a new high in 2023 of 31.4k on 23 June but retraced to the $30k zone, trading at $30.2k at the time of writing.
Read Bitcoin’s [BTC] Price Prediction 2023-24
In other new developments, last week’s upswing saw BTC/Nasdaq decoupling reversed, setting the two into an almost similar trend and syncing as opposed to the negative correlation in April/early June.
Bears protecting $31k
Source: BTC/USDT on TradingView
BTC graced the $31k zone in mid-April. A retest of the zone has seen bears jealously protect it, prompting a short pullback at press time. At the time of writing, BTC eased to $30.2k, down from its peak of $31.4k on 23 June.
Bulls are expected to aggressively defend two key immediate support levels – $29.5k and $28.5k, making them potential buying levels if the bullish market sentiment remains intact. A rebound from these levels could see BTC retest $31k or $32k resistance levels.
There was little historical resistance above $34k; hence a close above it could set BTC to zoom to $37k or 40k price zones.
Conversely, the first weakening sign of BTC will be a drop below $29.5k. An extended drop below $28.5k will expose $26.6k support to intense shelling.
In the meantime, the RSI (Relative Strength Index) hit the overbought zone while CMF (Chaikin Money Flow) was above the zero mark – positive buying pressure and capital inflows, respectively.
Short-term holders in profit, thanks to last week’s rally
Source: Glassnode
According to Glassnode, BTC’s upswing from $25k to over $30k within the last two weeks has seen the percentage of Short-Term Holder Supply in profit swing to 96.9%.
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The on-chain tracking platform further deduces that such a massive spike in the short-term holders in profit is traditionally preceded by higher price action.
Despite the short pullback, BTC’s demand in the futures market remained positive, as illustrated by an uptick in Open Interest (OI) rates at the time of writing.
Source: Coinglass
