The crypto market has experienced its ups and downs recently, with Bitcoin generating a bearish trend of over 3% this week, reaching a long-term support of around $25,100. Market intelligence platform Santiment and data analytics expert Glassnode have provided some key insights to help investors understand the current landscape.
Santiment has noted a rise in BTC whale transactions and differing responses to Blackrock and SEC lawsuits, while concerns about being altcoin-heavy have become the focal point, thanks to several fear, uncertainty, and doubt (FUD) inducing news stories. Concurrently, Glassnode’s analysis reveals that Bitcoin’s Spent Output Profit Ratio (SOPR) has been experiencing difficulty, with undercuts posing a test to the prevailing trend. Presently, market participants, on average, are transacting at a loss. This could suggest further market weakness if the profit-driven regime isn’t reclaimed, illustrating the potential dependency on this particular factor.
Another important aspect in determining the direction and momentum of the local trend is the Short-Term Holder Cost-Basis at $26.4K. This has served as an anchor for recent price volatility, emphasizing its significance in evaluating the market’s overall health.
Surprisingly, some analysts remain positive about Bitcoin’s recent performance. CrediBULL Crypto, a popular analyst, has pointed out that Bitcoin’s resilience is evident in its tagging of the first red region. However, they do anticipate a minor pullback in the upper green region. Failure to hold this level could potentially thrust the lower green region into play. As such, the depth of this correction will offer valuable insights into the ongoing impulsive move’s strength on smaller timeframes.
Bitcoin’s current price stands at $26,515.22, with a modest increase of 0.31% in the past hour, 4.14% over the last 24 hours, and 3.11% within the past week. Its long-term bullish trend is still in place, maintaining a range between lows of $25,245.36 and highs of $26,769.39 over the past day.
As always, it is crucial for investors to conduct thorough market research before investing in cryptocurrencies. While these insights may provide some guidance, market conditions can change rapidly, and the responsibility ultimately falls on each individual to consider their personal financial risks before making any commitments.
Source: Coingape
