- Bitcoin shows signs of improving market confidence but short-term headwinds are still in play, influencing its performance.
- Can Bitcoin drum up enough momentum amid signs of declining dominance?
The Bitcoin [BTC] investment landscape is experiencing a resurgence of confidence despite struggling to stay above $60,000. This is evidence in retail activity, as well as in Bitcoin miners.
Bitcoin and the overall crypto market are experiencing a confidence recovery, contrary to the situation earlier in the month. The fear and greed index is currently at 26, but it peaked at 30 during Tuesday’s session.
Source: Alternative.me
The fear and greed index signals that Bitcoin confidence is currently higher than it was at the start of the year. However, this does not necessarily paint a picture of confidence considering that it dipped to 26 in the last 24 hours.
The possible reason for this the fact that BTC slipped below $60,000 once again. An outcome that has been quite common lately.
The reason for the sell pressure pushing BTC below $60,000 this time could be the revelation that Mt. GOX just moved over 12,000 BTC worth over $700 million.
Are miners accumulating Bitcoin?
Bitcoin miner reserves have been on an overall downward trajectory in the last 12 months. Reflecting the state of sell pressure as bars became the dominant force.
However, miner reserve data indicates an inversion in the curve so far this month from July lows. This suggests that the number of miners HODLing their BTC has been growing.
Source: Cryptoquant
Demand for Bitcoin in the derivatives segment is also recovering. This was evident in the rising open interest after a rough start earlier this month. Similarly, we also observed growing appetite for leverage, resurgence.
Source: CryptoQuant
Despite the resurgence in open interest and leverage, it is clear that the market is still in a cautious mood. Recent liquidations have many traders on edge especially with the prevailing directional uncertainty.
While the current market conditions suggest an improvement in the level of market confidence, Bitcoin is still exposed to certain and uncertain risks. Mt. Gox-induced sell pressure is one of them.
However, there is another risk that is less pronounced. BTC dominance has been declining since 10 August.
Source: TradingView
A small retracement is perfectly normal considering that Bitcoin dominance achieved a strong rally since 13 July. Nevertheless, this could be the start of a stronger downtrend to come.
If this is the case, then liquidity may start flowing in favor of the altcoins, consequently limiting BTC’s potential upside.
Read Bitcoin’s [BTC] Price Prediction 2024-25
Meanwhile, Bitcoin demand from leading institutions indicates growing competition. For example, Microstrategy has been the leading institutional investor but not anymore.
Recent data shows that Blackrock has been aggressively buying Bitcoin. Its BTC holdings are now almost twice the amount owned by Microstrategy.
- Bitcoin shows signs of improving market confidence but short-term headwinds are still in play, influencing its performance.
- Can Bitcoin drum up enough momentum amid signs of declining dominance?
The Bitcoin [BTC] investment landscape is experiencing a resurgence of confidence despite struggling to stay above $60,000. This is evidence in retail activity, as well as in Bitcoin miners.
Bitcoin and the overall crypto market are experiencing a confidence recovery, contrary to the situation earlier in the month. The fear and greed index is currently at 26, but it peaked at 30 during Tuesday’s session.
Source: Alternative.me
The fear and greed index signals that Bitcoin confidence is currently higher than it was at the start of the year. However, this does not necessarily paint a picture of confidence considering that it dipped to 26 in the last 24 hours.
The possible reason for this the fact that BTC slipped below $60,000 once again. An outcome that has been quite common lately.
The reason for the sell pressure pushing BTC below $60,000 this time could be the revelation that Mt. GOX just moved over 12,000 BTC worth over $700 million.
Are miners accumulating Bitcoin?
Bitcoin miner reserves have been on an overall downward trajectory in the last 12 months. Reflecting the state of sell pressure as bars became the dominant force.
However, miner reserve data indicates an inversion in the curve so far this month from July lows. This suggests that the number of miners HODLing their BTC has been growing.
Source: Cryptoquant
Demand for Bitcoin in the derivatives segment is also recovering. This was evident in the rising open interest after a rough start earlier this month. Similarly, we also observed growing appetite for leverage, resurgence.
Source: CryptoQuant
Despite the resurgence in open interest and leverage, it is clear that the market is still in a cautious mood. Recent liquidations have many traders on edge especially with the prevailing directional uncertainty.
While the current market conditions suggest an improvement in the level of market confidence, Bitcoin is still exposed to certain and uncertain risks. Mt. Gox-induced sell pressure is one of them.
However, there is another risk that is less pronounced. BTC dominance has been declining since 10 August.
Source: TradingView
A small retracement is perfectly normal considering that Bitcoin dominance achieved a strong rally since 13 July. Nevertheless, this could be the start of a stronger downtrend to come.
If this is the case, then liquidity may start flowing in favor of the altcoins, consequently limiting BTC’s potential upside.
Read Bitcoin’s [BTC] Price Prediction 2024-25
Meanwhile, Bitcoin demand from leading institutions indicates growing competition. For example, Microstrategy has been the leading institutional investor but not anymore.
Recent data shows that Blackrock has been aggressively buying Bitcoin. Its BTC holdings are now almost twice the amount owned by Microstrategy.
Wonderful web site Lots of useful info here Im sending it to a few friends ans additionally sharing in delicious And obviously thanks to your effort
Business dicker This is really interesting, You’re a very skilled blogger. I’ve joined your feed and look forward to seeking more of your magnificent post. Also, I’ve shared your site in my social networks!
how to buy cheap clomiphene pill clomid uses can i buy cheap clomiphene without prescription where buy cheap clomiphene where to get generic clomid without dr prescription where buy generic clomid without prescription where to buy generic clomiphene no prescription
Thanks on sharing. It’s first quality.
This is the make of delivery I recoup helpful.
azithromycin sale – metronidazole tablet purchase metronidazole online
order semaglutide 14 mg generic – semaglutide 14 mg ca buy cyproheptadine 4mg for sale
buy motilium 10mg – buy generic domperidone over the counter buy flexeril 15mg online cheap
buy augmentin 1000mg generic – atbioinfo.com acillin usa
nexium 40mg sale – anexa mate order nexium capsules
purchase coumadin generic – anticoagulant buy losartan 25mg
mobic 15mg drug – https://moboxsin.com/ order meloxicam 7.5mg pills
buy erectile dysfunction pills – https://fastedtotake.com/ medications for ed
diflucan brand – https://gpdifluca.com/ cost forcan
cenforce online – fast cenforce rs cenforce 50mg us
cialis reviews photos – ciltad generic where can i buy cialis over the counter
ranitidine 300mg us – buy zantac for sale ranitidine online
best reviewed tadalafil site – on this site difference between cialis and tadalafil
This is the type of enter I turn up helpful. comprar provigil espaГ±a farmacia en casa
buy viagra delhi – https://strongvpls.com/# sales@cheap-generic-viagra
With thanks. Loads of expertise! azithromycin 250mg brand
This is a theme which is near to my heart… Many thanks! Quite where can I find the contact details for questions? https://ursxdol.com/get-cialis-professional/
This is the kind of criticism I in fact appreciate. https://prohnrg.com/product/orlistat-pills-di/
I am in point of fact happy to glance at this blog posts which consists of tons of profitable facts, thanks towards providing such data. https://aranitidine.com/fr/lasix_en_ligne_achat/
I’ll certainly carry back to read more. https://ondactone.com/product/domperidone/
This is a topic which is forthcoming to my fundamentals… Myriad thanks! Unerringly where can I notice the connection details for questions?
purchase sumatriptan pills
The thoroughness in this piece is noteworthy. http://zqykj.cn/bbs/home.php?mod=space&uid=302513
purchase dapagliflozin sale – order dapagliflozin 10 mg generic dapagliflozin price
xenical online buy – orlistat cheap buy orlistat 60mg for sale