Bitcoin has found itself in a swing position for more than two months, stopping in the $ 30- $ 40K range. This situation is caused by low volatility and enhanced Secret mining by the Chinese authorities.
The struggle between long- and short-term holders has also affected their opposing positions in the BTC market. For example, as long-term BTC holders was kept on their short-term counterparties continued to sell, leading to a stalemate.
Chain analyst Will Clemente believes that Bitcoin is moving into strong hands, given that its supply shock is at a level proven to be $ 50- $ 60K.
Strong hands are investors who pamper property for future purposes other than speculation. Small farmers are a rising force. By Encryption Analyst Willy Woo:
“Bitcoin continues to spread the 12-year trend evenly. Small holders are an ascending force. “
Therefore, small farmers cannot be ignored as they sold 428,749 BTCs in May, and this is one reason why Bitcoin raised from a record high of $ 64.8,000 in mid-April. In addition, on May 19, the BTC decoupled 30% of its value in one day, lowering the MA indicator below 200 days for the first time since March last year.
Bitcoin short-term interest rate abandoned 43% from an all-time high (ATH) in February, leading to market weakness.
As a result, the encryption of trading volumes on stock exchanges dropped more than 40% in June. For example, spot trading volumes fell 42.7% to $ 2.7 trillion, while derivatives volumes fell 40.7% to $ 3.2 trillion.
As Bitcoin moves back into strong hands, it remains to be seen whether this will start to peak cryptocurrency back to profit.
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