Bitcoin is testing an important support level

27 Jul, 2022

Start date

23 Aug, 2022

End date

24 300

Target Price

Buy

Tip

Instrument: BTCUSDT

Make money on an idea!

Bitcoin (BTC/USDT) is once again returning to the support level at $21,700. If this barrier holds, we can expect a new wave of growth to the recent local high at $24,000

Bitcoin (BTC/USDT) is once again returning to the support level at $21,700. If this barrier holds, we can expect a new wave of growth to the recent local high at $24,000. What's more, overall, news has been positive.

Analyst's technical analysis background of the idea

Buy if the price surpasses the technically important resistance level of 21 700

Analyst's fundamental analysis background of the idea

Waves of stablecoin conversions to fiat currency and an outflow of funds from crypto ETFs have amounted to nothing. This is partially due to the market panic coming to an end. The catalyst for this movement is the reduction of uncertainty about the volume of lending risks among industry players after some of them began to reorganise.

If we look at the structure of hodlers' coins, we can see that the share of coins older than 3 months is growing, i.e., the coins were purchased before the Terra project collapsed. This indicator almost reached 80%. The trend is continuing to strengthen. It's one sign that the market is moving towards sellers becoming exhausted and market participants believing in Bitcoin's ability to move higher.