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Bitcoin Hits New All-Time High Above $62,000

BTC has scaled a new height by surging past the $62k mark, a fate not seen in its twelve-year journey.

Ever since Bitcoin (BTC) breached its old price record of $20,000 in December 2020, the leading cryptocurrency has continued to hit new milestones.

Bitcoin is currently hovering around $62,636 at the time of writing, according to CoinMarketCap. Therefore, this price surge has made BTC set a new ATH, as alluded to by market analyst Joseph Young.

Conversely, Bitcoin’s volatility is expected to drop below that of EUR/USD in 13 years, according to crypto analyst Willy Woo. The on-chain analyst explained:

“BTC’s peak volatility is on track to drop below fiat volatility (EURUSD) in 13 years, roughly when its adoption base equals that of the Internet.”

Bitcoin will overtake the British Pound if it hits $64,000

According to crypto data provider Documenting Bitcoin:

“At $64,000, Bitcoin becomes the 6th largest currency in the world and overtakes the British pound sterling in size.”

This fate might happen in the near future because market analysts believe that BTC’s current bull run is far from being over, based on the 200-week moving average and on-chain realized metric.

The analyst who uses a stock-to-flow (S2F) model that compares the amount of a commodity in circulation divided by the amount produced every year believes that Bitcoin’s march towards $100,000 is on the horizon. Tweeting by the pseudonym “Plan B,” he explained:

“Bitcoin at $61K … Following S2F like clockwork. I put my laser eye back on. See you all at $100K.”

Time will tell whether a surge past $100,000 will be realized this year as speculated by various analysts. A price level of $181,000 will make Satoshi Nakamoto, the pseudonym used by the anonymous person who authored the BTC whitepaper and developed the Bitcoin network, the richest person globally.

Bitcoin at $64,000 is Amazing But It’s Just the Start, says Market Analyst

Bitcoin (BTC) continues with its rollercoaster ride of scaling new heights. The top cryptocurrency by market capitalization has made history by breaching the $64k level, a fate not seen in its twelve-year history. BTC is trading at $64,650 at the time of writing, according to CoinMarketCap.

Crypto trader Michael van de Poppe believes that Bitcoin at $64,000 is amazing, but this is just the start.

Some analysts have pointed out that the present BTC bull run is just the tip of the iceberg, as acknowledged by pseudonymous analyst “Plan B,” who recently disclosed that BTC’s uptrend is far from being over, based on the 200-week moving average and on-chain realized metric.

Plan B also asserted that a surge to $100,000 was on the horizon. Michael van de Poppe echoes this sentiment by stipulating that if Bitcoin holds the $60k level, then the grind upwards will continue.

Bitcoin futures open interest push past $27 billion

According to on-chain metrics provider Glassnode:

“Bitcoin Futures Open Interest across major exchanges reaches record highs of more than $27B as BTC hits new ATHs.”

Crypto data firm IntoTheBlock also noted that BTC perpetual swaps open interest hit a new ATH of $18.15 billion.

Huge institutional investments have fueled Bitcoin’s current rally. For instance, Meitu, a Chinese app developing company specializing in photo-editing and video processing software, recently announced the purchase of an additional 175.6 Bitcoins for $10 million, bringing its total BTC reserve to over 940 coins.

Earlier in February, American electric car maker Tesla Inc purchased BTC worth $1.5 billion with the intention to further diversify and maximize returns.

As Bitcoin continues with its record-breaking moves, the future seems to have plenty in store for the leading cryptocurrency, as acknowledged by market analyst Joseph Young who trusts the big difference between BTC’s 2017 and 2021 bull run is that everyone is not heading for the exit.

Bitcoin Bleeds Across the Board as BTC Drops to a 6-Week Price Low

Bitcoin (BTC) tumbled by 9.08% in the last 24 hours to trade at $49,262 at the time of writing, according to CoinMarketCap. This price slump resulted in the leading cryptocurrency dipping below the psychological mark of 50k after hitting record-highs of more than $64k in the recent past.

Market analyst Joseph Young believes that fear is causing this drop in the BTC market. He explained:

“Fear in the Bitcoin market caused by $4 billion liquidated, Kimchi Premium hitting 0% now slightly above 4%, small to midsize whales selling, and Biden tax concerns. Waiting for the leverage to go down a bit and then a solid recovery.”

Young acknowledged that Bitcoin price could decline a bit further before rallying back upwards.

The shock waves in the Bitcoin market are partly triggered by the speculations that U.S. President Joe Biden’s administration will increase capital gains taxes. As a result, affect investments in digital assets.

This proposal has made American investors in crypto assets panic. For those US investors who have held cryptocurrencies for more than one year, cashing out for selling digital assets will face the risk of high capital gains taxes.

The slackening BTC price has made the top cryptocurrency hit a 6-week low, as acknowledged by on-chain metrics provider Santiment.

Bitcoin’s dominance nosedives

According to crypto data provider Bloqport:

“Bitcoin’s dominance drops to 50.2% for the first time in three years.”

Nevertheless, crypto analyst Michael van de Poppe believes that Bitcoin is calming down because it ran from $10k to $60k without any breaks, and this is healthy.

Other traders and analysts have also alluded to the fact that the BTC price drop is likely temporary as an overwhelming appetite from institutional and retail investors for this digital asset are showing its continued acceptance.

As the clock ticks, time will tell whether Bitcoin will regain its momentum and continue hitting record-highs in 2021.

Bitcoin’s Average 30-Day Trader Returns Haven’t Dipped This Low Since Black Thursday

Back on March 12, 2020, Bitcoin (BTC) shed off more than 50% of its value to trade at $3,800 as the coronavirus (COVID-19) pandemic continued wreaking havoc across the globe.

This day was often referred to as ‘Black Thursday’ as the financial market experienced a sharp price drop due to the uncertainty for the future from the investors based on the pandemic’s grappling effects.

Santiment revealed that the latest correction in the market has made Bitcoin’s average 30-day trader returns slip to lows not seen since Black Thursday. The on-chain metrics provider explained:

“Bitcoin’s average trader returns haven’t dipped this low since the Covid19-driven Black Thursday event back in March 2020.”

Bitcoin is experiencing panic selling

BTC has been experiencing panic selling, and this trend is being caused by new market entrants, as acknowledged by crypto data provider Glassnode.

On May 19, BTC fell to around $30K, resulting in the biggest single-day drop of price, up to 30%. The price level of $30K was close to the beginning of 2021, which indicated that the year-to-date (YTD) return of long-term investors by holding BTC was almost zero.

Furthermore, this price drop became the first time BTC had dropped to the 200-MA, a key strategic indicator, since May last year as the Covid-19 pandemic continued to wreak havoc globally.

Charles Edwards, the founder of Capriole Investments, noted that this month’s BTC slump is the largest monthly drop ever.

Bitcoin exchange inflows from whales are cooling off

Ki-Young Ju, CryptoQuant CEO, stated that Bitcoin exchange inflows from whales are slowing down, bullish.

Furthermore, long-term holders are accumulating more BTC in the present downtrend.

With the recent BTC correction came to the sixth-worst over the past 9 years, time will tell whether the top cryptocurrency will regain momentum to continue soaring new heights before the year closes.

Bitcoin Eyes for a Clear Direction amid the Mist

Bitcoin (BTC) tanked by at least $2,000 in the last 24 hours to hit $32,685 during intraday trading, according to CoinMarketCap.

The top cryptocurrency has been indecisive because it has consolidated between the $30K and $40K area for more than two months now. Therefore, BTC traders are waiting for the next significant movement in either direction, as acknowledged by Santiment.

The on-chain metrics provider explained:

“Bitcoin’s movement has continued to become more dormant while traders wait for the next major move in either direction.”

Market analyst Michael van de Poppe echoed these sentiments. He said:

“Bitcoin is still acting inside the range, and no decision has been made. Losing $33K range, and I’m looking at $31-31.4K.”

Part of the indecisiveness in the BTC market has been caused by the actions of long-term and short-term holders, as previously revealed by on-chain analyst William Clemente III.

Notably, as long-term BTC holders keep accumulating, their short-term counterparts keep selling.

For instance, Bitcoin addresses holding between 100 and 10,000 BTC now own 9.13 million coins, and this has been the highest mark since April 14.

Is the crypto market entering a new regime?

John Bollinger, a veteran trader and the inventor of the popular Bollinger Band indicator, stated that trading patterns in the crypto space have become quite unusual. He, therefore, wondered if the crypto market was entering a new regime.

To delve deeper into this puzzle is the fact that the Bitcoin market has been ranging for quite some time despite witnessing the highest level of on-chain volume since its $10.3K, as disclosed by William Clemente III.

It, therefore, remains to be seen whether Bitcoin will continue holding above the $30K range.

Bitcoin Supply on Exchanges Diminishes as BTC Stares at Last Key Support Level Above $30,000

As Bitcoin (BTC) eyes for a clear direction outside the $30K-40K range, the top cryptocurrency has been leaving crypto exchanges in droves, as acknowledged by Santiment.

The Crypto analytic firm explained:

“Bitcoin’s supply on exchanges is now close to the lowest amount of BTC in 2021. Meanwhile, the supply being moved outside of exchanges is matching levels last seen in November 2018. This is encouraging due to the implication of less selloff.”

Therefore, Bitcoin has been exiting crypto exchanges into cold storage. This signifies a holding culture, which is a bullish sign.

Bitcoin has been indecisive because it has consolidated between the $30K and $40K area for more than two months now. Therefore, BTC traders are waiting for the next significant movement in either direction.

Bitcoin is trading above $30,000 by a whisker

According to data science firm IntoTheBlock:

“Bitcoin fell below the $33,000 crucial level of support. The IOMAP indicator reveals stiff resistance ahead and one last key level of support that could prevent BTC from falling below $30,000. Between $30,5k and $31.1k, over 314 thousand addresses previously bought 241k BTC.”

Bitcoin, therefore, has to hold at $30.5K-31.1K support level to avoid a drop below the psychological price of $30,000.

As the number of daily BTC on-chain transactions remain relatively low, it remains to be seen whether the leading cryptocurrency will hold above $30K in the coming days or bears will take charge.

Bitcoin was down by 2.3% in the last seven days to hit $32,699 during intraday trading, according to CoinMarketCap.

Almost $98 Billion Evaporated in the Crypto Space Triggered by a Big Sell-Off in the Global Stock Market

Bitcoin (BTC) plummeted below the psychological price of $30,000 in the last 24 hours for the second time since mid-May. As a result, the entire crypto market found itself on the receiving end because about $98 billion has been evaporated.

A major sell-off was witnessed in the global stock market

According to Annabelle Huang, a partner at Amber Group said:

“There’s been a broad sell-off in global markets, risk assets are down across the board.”

The stock market plummeted on July 19 as Dow Jones Industrial Average experienced its worst day since October last year.

Huang added:

“Coupled with recent BTC (Bitcoin) weakness, this just sent the crypto market down further.”

The plunge in BTC was triggered by the large sell-off in the stock market as the leading cryptocurrency was down by 5.66% in the last 24 hours to hit $29,864 during intraday trading, according to CoinMarketCap. Bitcoin has not been trading below $30K since June 22.

Other top cryptocurrencies like Ethereum (ETH), Binance Coin (BNB), Cardano (ADA), and Ripple (XRP) were also down by 7.7%, 11.78%, 10.05%, and 8.83%, respectively.

Bears calling ahead

Jehan Chu, the founder of crypto-based venture capital and trading firm Kenetic Capital, stated:

“All signals are red as BTC (bitcoin) continues to be weighed down by China’s ultimate crypto ban and worsening macro economic conditions from a surge in covid variants.”

China’s intensified crackdown on crypto mining starting in May, which sparked low volatility in this sector. Anhui, an eastern Chinese province, became the latest region to shut down all crypto mining activities, citing an acute power shortage.

As Bitcoin mining continues being unwelcome on Chinese soil, the United States has emerged as the biggest beneficiary because this industry seems to be shifting from the East to the West.

Bitcoin’s Social and Trading Volumes Hit a 5-Week High as Address Activity Surge to a 3-Week High

As Bitcoin (BTC) continues testing the $40K waters, its social and trading volumes go through the roof, as acknowledged by Santiment.

The on-chain metrics provider explained:

“How did Bitcoin recover to $40K out of the blue? 3 of our key leading metrics all skyrocketed! BTC’s social and trading volumes hit a 5-week high, and address activity hit a 3-week high. When this trio jumps in unison, good things typically happen.”

Bitcoin’s address activity is also not being left behind because it hit a record-high in the last three weeks. Recently, the number of daily active BTC addresses surged by 44.1%.

Therefore, Bitcoin daily active addresses tend to be correlated with the price action, given that investors often follow the price rather than use the asset.

Heating Bitcoin futures markets

According to data analytic firm IntoTheBlock:

“Alongside the return to $40K, Bitcoin futures markets are heating up once again. Funding rates are once again neutral or positive across several major exchanges, pointing to a majority of long positions being opened over the past few days.”

BTC funding rate recently flipped over to positive as 2.1 million returned to be profitable. The crypto community had been waiting with bated breath to see Bitcoin’s next move as low volatility continued engulfing this market.

Is Institutional money back?

Jan Wuestenfeld, an on-chain analyst, believes that a negative correlation between the dollar index (DXY) and Bitcoin could signal a return of institutional money in the BTC market. He pointed out:

“The USD index (DXY) and Bitcoin’s price have started to show a negative correlation again. This negative correlation has been there this bull-run until the beginning of this year and then did break down. Of course too early to tell, but it might be an indication that inst. money is back.”

Given that 325,000 BTC was previously purchased at this level with significant resistance expected around $42K, the current upward momentum will continue to be observed.

Bitcoin’s Supply Ratio on Exchanges Hit a 26-Month Low as BTC Miner Reserves Edge Closer to an ATH

Bitcoin (BTC) holders continue to show their confidence in the leading cryptocurrency as the supply ratio on exchanges slumped to a 26-month low.

On-chain metrics provider Santiment explained:

“The ratio of BTC on exchanges has now fallen to its lowest point since June, 2019. This 26-month low should be viewed as a bode of confidence for holders of Bitcoin, as large exchange sell offs are less common when less supply is at risk on exchanges.”

Long-term holders have been leading the accumulation race, given that their BTC holdings recently surged to 66%. This holding uptrend was boosted by the recent dip, which saw lows of $29.5K hit.

Bitcoin miner reserves inch closer to a record-high

According to Jan Wuestenfeld, an analyst at CryptoQuant said:

“Bitcoin miner reserves are back closer to this year’s ATH recorded on May 9. Miners have been adding BTC to their reserves in the last weeks.”

Dilution-proof echoed these sentiments. The crypto insights provider stated:

“Not just hash rate is recovering; Bitcoin miners are stacking sats again as well. Their balances are now above the levels of before the recent ban and hash rate drop again.”

Chinese authorities’ intensified crypto mining crackdown made Bitcoin miners experience diminishing returns as they were forced to shift base. As a result, at least 90% of China’s BTC mining capacity was hampered. Furthermore, BTC’s hashrate was nosedived by more than 50%.

Nevertheless, Bitcoin miners are recovering lost ground, as evidenced by an upward trajectory in their reserves.

Bitcoin reclaims the 200-Day Moving Average

After nosediving to lows of $30K on May 20th, Bitcoin dropped below the 200-day moving average (MA) indicator for the first time since March last year.

Nevertheless, the leading cryptocurrency recorded its first daily close above this indicator since then on August 9, as acknowledged by on-chain analyst Will Clemente.

The 200 days MA is a key technical indicator used to determine the general market trend. It is a line that shows the average closing price for the last 200 days or roughly 40 weeks of trading.

Bitcoin’s Average Trader Monthly Swings Back to Sink for the First Time Since July

After recording a 10% daily loss on September 8, Bitcoin (BTC) has found itself on a negative trajectory as the leading cryptocurrency dropped from the $52K level to the $42K area.

BTC was down by 8.08% in the last seven days to hit $45,994 during intraday trading. Therefore, this significant pullback has made the traders’ monthly returns slump. Crypto analytic firm Santiment explained:

“The average Bitcoin 30-day trader returns are in the red for the first time since July, implying a lower than average risk opportunity to buy. A return of -3% isn’t extreme for this timeframe, but it’s an encouraging sign that euphoria has cooled off.”

Before this crash, miners sold more than 300,000 BTC, as acknowledged by IntoTheBlock. The on-chain metrics provider noted:

“Bitcoin miners appear to have been selling over 300K BTC in the days prior to the recent crash. This does not necessarily mean miners caused the crash, but does highlight the miner’s cautious stance as their holdings reach a new all-time low.”

On the other hand, the Bitcoin futures perpetual funding rate turned negative, which illustrated a tendency to short the leading cryptocurrency as over-leveraged longs were flushed out of the market.

Is a bullish impulse expected?

According to market analyst Will Clemente:

“Another bullish impulse of BTC moving to long-term investors and coins coming off exchanges.”

Glassnode echoed these sentiments by acknowledging that Bitcoin balance on exchanges reached a 3-year low.

On-chain data provider Dilution-proof believes that the recent dip was a technical correction meant to clear excess leverage in the BTC market because illiquid supply didn’t move, coins left exchanges, and experienced holders didn’t sell.

Cryptocurrencies exiting exchanges and being held by long-term investors are bullish because it signifies a holding culture.