Bitcoin worth efficiency over the previous week did not carry glory to the cryptocurrency market, because the main cryptocurrency as soon as once more discovered itself in hassle. Almost all large-cap belongings mirrored this pattern, with many struggling vital losses.
Sadly, latest worth motion knowledge means that Bitcoin worth isn’t but protected as additional declines are doable within the coming days.
Is $60,000 the following cease?
In a brand new report, blockchain intelligence agency CryptoQuant has made attention-grabbing predictions about Bitcoin worth primarily based on its latest actions. Based on the analytics platform, the worth of the highest cryptocurrency may rise to $60,000 after shedding an necessary help degree.
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On Tuesday, June 18, Bitcoin costs fell beneath 65,000 factors for the primary time in a month. The worth of BTC didn’t keep beneath this degree for lengthy, because it shortly recovered to $66,000 by Thursday. Nonetheless, the most important cryptocurrency succumbed to bearish stress, falling to $63,500 on Friday, June 21.
#bitcoin The worth traded beneath the important thing help degree of $658,000 and is at present beneath $64,000.
A break beneath this threshold would imply a possible retracement of 8%-12% in direction of $60,000. pic.twitter.com/hXwUkC13up
— CryptoQuant.com (@cryptoquant_com) June 21, 2024
CryptoQuant assumes in its evaluation that the worth of Bitcoin is at present beneath the necessary $65,800 degree, which is the on-chain realized worth for merchants. This worth indicator can act as a help degree, and if BTC worth falls beneath this degree, it’s going to sign an impending decline.
Based on CryptoQuant, at any time when Bitcoin worth falls beneath the on-chain realized worth, it experiences a correction of 8-12%, which explains the $60,000 worth goal. Curiously, the market chief’s declining on-chain indicators help this bearish prediction.
As CryptoQuant explains, dealer demand for Bitcoin continues to say no as short-term holders, reasonably than shopping for Bitcoin, cut back their holdings. On the identical time, demand from massive traders (whales) at present lacks the depth usually related to bullish momentum.
Moreover, stablecoin liquidity has been steadily declining, placing stress on the Bitcoin bull market. For instance, 60-day development in Tether USD (USDT) market capitalization has slowed from $12.6 billion in late April to $3.7 billion at present, the slowest development price since November 2023.
After all, larger stablecoin liquidity is required to provoke worth will increase within the cryptocurrency market.
Bitcoin Worth at a Look
On the time of writing, Bitcoin worth continues to hover round $64,000, down 1.2% up to now 24 hours. The key cryptocurrency has misplaced almost 8% in worth over the previous two weeks, in accordance with CoinGecko.
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Featured picture from iStock, chart from TradingView
