Bitcoin
is
within
a
bullish
formation
following
gains
from
last
week
after
spring,
as
seen
on
July
15
when
prices
broke
above
the
20-day
moving
average.

However,
even
with
the
optimism,
cracks
are
beginning
to
form.
Yesterday,
on
July
23,
prices
retracted,
cooling
off
from
over
$67,500
to
falling
below
the
all-important
support
at
$66,000.

 

If
sellers
double
down
by
the
close
of
today’s
bar,
reversing
current
gains,
it
will
rapidly
slow
down
the
uptrend
momentum,
challenging
the
bulls
of
last
week.

Bitcoin
Exchange
Activity
Rising:
Are
Bulls
In
The
Equation?

While
Bitcoin
remains
generally
resilient
and
within
inches
from
all-time
highs,
analysts
closely
monitor
events
while
maintaining
a
bullish
bias.
Taking
to
X,
one
analyst

said

exchange
activity
has
been
on
an
upward
trajectory.

Over
the
past
few
days,
the
analyst
said
the
Average
Exchange
Volume
Flow
(AEVF),
used
to
gauge
BTC
trading
volume
across
exchanges
like
Coinbase
and

Binance,
is
up
9%.

The
analyst
added
that
the
growth
in
exchange
activity
suggests
that
the
BTC
market
could
be
positioning
for
a
major
market
recovery.
However,
it
must
surpass
the
average
annual
volume
threshold
for
this
to
happen.

 

This
means
the
AEVF
indicator
should
grow
by
another
11%,
pushing
it
to
over
45%.
In
the
last
bull
run,
when
Bitcoin
soared
to
$73,800,
the
AEVF
indicator
rose
to
as
high
as
45%.

Even
as
the
uptrend
appears
labored,
other
market
data
shows
that
whales,
especially
those
holding
at
least
10,000
BTC,
have aggressively
accumulated over
the
past
week.

Their
buying
decision
coincides
with
the
expansion
through
July
15
when
prices
broke
above
key
resistance
levels,
significantly
$62,500,
rising
to
$68,000
over
the
weekend.

New
BTC
Whales
Have
Key
Support
At
$64,000

For
now,
the
average
purchase
price
for
new
whales,
the
analyst

noted,
is
around
$64,000.
As
such,
provided
prices
trend
above
this
line,
the
sentiment
remains
bullish,
and
large
holders
won’t
be
able
to
reconsider
their
decision.

 

As
prices
gyrate
with
hints
that
buyers
are
in
play,
accumulating
on
dips,
it
is
also
imperative
for
traders
to
watch
out
how
they
react
at
critical
resistance
levels.

Looking
at
the
daily
chart,
Bitcoin
must
reject
lower
prices
below
$66,000
and
find
the
momentum
to
crack
$70,000
and
$72,000.
These
two
levels
are
crucial
reaction
points
that
have
formed
local
liquidation
or
loading
zones
in
the
past.

Feature
image
from
Canva,
chart
from
TradingView

Go to Source
Author: Dalmas Ngetich

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