BTC has been manufacturing some gains for the past few hours, however there is no dazzling behavior yet. Don’t know what to expect from Bitcoin for next week?, then this analysis is what you need to review.
At the time of this writing BTC is trading at $35,370 accumulating a profit of 1.92% in the last 24 hours and 6.52% in the last 7 days.
Review of some key metrics
To begin with this analysis we are going to review some data on chain metrics, which may be helping us a lot to look for where the probabilities are leaning.
The first one we will review is the one shared yesterday by Glassnode. In it they point to the last adjustment of the mining difficulty which was 28%, making it the largest in Bitcoin’s history.
The great adjustment occurs after the massive exit of the network of miners in China, after the government of the Asian country put strong restrictions on such activity.
Despite the momentary negativity that the news could mean, due to decreased security and increased network congestion, now the adjustment seeks balance and will undoubtedly be incentivizing new miners to mine BTC at a lower operating cost.
I would also like you to look at the following metric, recently created by young analyst William Clemente. There we observe how despite the latest losses, strong hands are buying the fall, which generates a divergence between this indicator and the price, thus giving us a signal of what these investors expect from the future price.
Finally, we reviewed another metric shared by William yesterday. In this we can notice how we are possibly returning to the previous course of increasing scarcity.
The BTC reserve indicator on exchanges is lateralizing and pulling down a bit, which tells us of a lower liquid supply.
What can we expect from Bitcoin over the next week?
Even though most of the on chain data is hopeful, there is still fear. And it is normal, because we really do not yet confirm anything that tells us that the previous upward trend is resuming.
However, the behavior observed in the weekly chart is increasingly clear. There are increasing signs that the fund has already been reached.
The continued defense and rejection of support between $30,000 and $32,000 speaks to bearish exhaustion, and the possibility that a new bullish momentum is about to begin.
From the weekly chart we have that the resistance that should be traversed to confirm a resumption is at $39,000. If this happens the price may be directed towards the zone of highs in the not too distant future.
Short-term key levels
Bitcoin has just once again defended support at $30,000, which makes us look forward to a positive week ahead.
On the daily BTC vs USDT chart we see a clear short-term bullish tilt, composed of ever-higher lows and highs.
Even this direction does not show much confidence, and to do so it should go through the resistance at $36,137 (so far it is the most likely scenario).
Higher up we will find the most relevant resistance, and it is located at $40,500. If crossed it would finally leave behind the great cumulative period in which the price is.
On the bearish side we have to lose the immediate support at $33,862, which could lead us back into the large support area around $30,000.
If support is lost at $30,000, then we could look for about $ 28,500. Below is support at $26,493 and $23,821 respectively.
All our publications are informative, so in no case should they be accepted as investment advice.
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