• Contact
  • Privacy Policy
  • Advertise With Us
  • Login
  • Register
Your Trading Edge Magazine
Advertisement
  • Home
  • Feature
    • Market Commentary
    • Expert Advice
    • Columns
  • Trading
    • Shares and Trading
    • Technical Analysis
    • Trading Mindset
  • Crypto News
  • Finance
  • Subscribe
No Result
View All Result
  • Home
  • Feature
    • Market Commentary
    • Expert Advice
    • Columns
  • Trading
    • Shares and Trading
    • Technical Analysis
    • Trading Mindset
  • Crypto News
  • Finance
  • Subscribe
No Result
View All Result
Your Trading Edge Magazine
No Result
View All Result

Can BTC Get Back on Bullish Track Despite Daily Close Below Important Support?

October 29, 2021
in Crypto News
Reading Time: 3 mins read
A A
0
Can BTC Get Back on Bullish Track Despite Daily Close Below Important Support?
0
SHARES
10
VIEWS
ShareShareShareShareShare

Bitcoin’s price made a daily close below $60K, the 21-day, and the 21-day EMA, which is a cautious signal in the near term. There’s a snap-back scenario in the cards where BTC closes back above these levels, but we need to wait for a daily close above them for validation.

There was a large number of inflows yesterday, causing spot reserves to jump by 9435 BTC. Gemini saw particularly big inflows. Right now, bitcoin’s price is above $60K.

Chart by TradingView

Technical Outlook

Overall, the trend remains bullish, despite the short-term weakness. BTC rallied 64% in a month with elevated open interest, and the leverage ratio is also close to peaking. The current shakeout can be considered a bullish signal because it helps to flush out the leverage longs and prepare BTC for the next major move higher.

This makes the overall market more sustainable, as overextended rallies tend to lead to larger drawdowns. It’s still too early to confirm a technical bottom at $58.1K as BTC remains below a key downtrend line at $62K and needs to make a higher high above $63.7K for confirmation.

There’s strong support remaining between $58.3K to $53K in terms of a technical and on-chain perspective.

On-Chain Analysis

Although spot reserves increased by 9435 BTC yesterday, on-chain metrics continue to show no major signs of aggressive distributions from long-term holders (LTHs) or miners.

img3_btc
Chart by CryptoQuant

The 1-to-3-month cohort continues to take profit – mainly younger coins and traders who sold. The Mean Coin Age made another all-time high. Older cohorts, on the other hand, continue holding. The ASOPR fell back towards 1, which indicates that the overall market is breakeven. This has historically been a support level for BTC throughout bull markets. During September, the ASOPR fell below 1 for a while throughout the liquidation event and then pushed back above it.

img2_btc
Chart by CryptoQuant

Miners continue to build reserves, and they show no signs of aggressive distribution.

In Conclusion

The current pullback in the BTC price is healthy for the market structure and makes the bull run more sustainable. Stocks continue to push higher, which gives even more merit to the resuming of the risk-on trade, especially as the dollar remains in a downtrend. Money’s flowing out of long-term bonds and rotates into risk assets.

In the short term, there’s still a risk of a flush-out as the leverage remains elevated at .18. However, it’s good to see it trend lower for the past day.

Overall, the trend remains bullish as LTHs and miners continue holding their BTC.

SPECIAL OFFER (Sponsored)

Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to get 50% free bonus on any deposit up to 1 BTC.

Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.

Credit: Source link

ShareTweetSendPinShare
Previous Post

India’s crypto law is expected in February 2022

Next Post

BTC/USD Bulls Attack 59867: Sally Ho’s Technical Analysis 29 October 2021 BTC

Related Posts

FTX Requests Return of Donations from SBF’s Political Beneficiaries
Crypto News

FTX Requests Return of Donations from SBF’s Political Beneficiaries

February 6, 2023
4
XRP & Stellar Lumens is the only crypto that is part of ISO 20022
Crypto News

Ripple and VeChain to conquer this futuristic billion-$-market

February 6, 2023
4
FinTech Firm tZERO Announces Exchange Shutdown
Crypto News

FinTech Firm tZERO Announces Exchange Shutdown

February 6, 2023
3
Charlie Munger wants the U.S. to ban cryptocurrencies
Crypto News

Charlie Munger wants the U.S. to ban cryptocurrencies

February 6, 2023
4
Indonesia To Launch National Crypto Exchange in June 2023
Crypto News

Indonesia To Launch National Crypto Exchange in June 2023

February 6, 2023
4
Next Post
BTC/USD Bulls Attack 59867: Sally Ho’s Technical Analysis 29 October 2021 BTC

BTC/USD Bulls Attack 59867: Sally Ho's Technical Analysis 29 October 2021 BTC

Recommended

invest in REITs to ‘withstand volatile economic times’

invest in REITs to ‘withstand volatile economic times’

February 3, 2023
5
Is Salesforce stock a ‘buy’ after naming three new directors?

Is Salesforce stock a ‘buy’ after naming three new directors?

January 29, 2023
4
Tech’s Slump Camouflages a Rally Sweeping Across Most of S&P 500

Tech’s Slump Camouflages a Rally Sweeping Across Most of S&P 500

January 15, 2023
5
Bitcoin to become legal tender in the United States – This senator wants to drive BTC adoption

Bitcoin to become legal tender in the United States – This senator wants to drive BTC adoption

January 27, 2023
4
Macy’s lowers its revenue guidance for the holiday quarter

Macy’s lowers its revenue guidance for the holiday quarter

January 9, 2023
5
Your Trading Edge Magazine

This is an online news portal that aims to share the latest news about trade, finance, crypto and much more. Feel free to get in touch with us!

What’s New Here!

  • FTX Requests Return of Donations from SBF’s Political Beneficiaries
  • Ripple and VeChain to conquer this futuristic billion-$-market
  • FinTech Firm tZERO Announces Exchange Shutdown

Subscribe Now

Loading
  • Contact
  • Privacy Policy
  • Advertise With Us

© 2021 - ytemagazine.com - All rights reserved!

No Result
View All Result
  • Home
  • Feature
    • Market Commentary
    • Expert Advice
    • Columns
  • Trading
    • Shares and Trading
    • Technical Analysis
    • Trading Mindset
  • Crypto News
  • Finance
  • Subscribe

© 2021 - ytemagazine.com - All rights reserved!

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?