The price of bitcoin held steady at $23K on Sunday as bulls awaited clarity regarding the next move.
The pair appeared to be in limbo at the time of writing after numerous efforts to break out above range resistance at $23K, although there were already expectations of bullish continuation.
Due to a lack of liquidity on exchange order books, which are dominated by retail traders while institutions and professionals abstain until the start of the new trading week, weekend trading generally leads to more erratic price behaviour.
The market activity right now points to Bitcoin finally breaking over this important milestone to the upside, which might open the door for a surge toward the $30K supply zone. Currently, at $26K, the 100-day moving average will probably present some resistance. In contrast, the 50-day moving average, which is currently near $21K, will probably serve as support in the event of a bearish pullback.
The crypto market has been progressively improving since early July despite macroeconomic headwinds. As it temporarily reached the $ 24k milestone, Bitcoin has enjoyed a steady climb over this time. However, after the most recent instance of selling pressure from the long-term holder cohort, as reported by Glassnode, worries are starting to surface.
Long-term Bitcoin investors currently control more than 13.337 million BTC or 79.85% of the total amount in circulation. However, they have released about 222k BTC since the beginning of May, which is equivalent to about 1.6% of their all-time-high holdings.
Officials from the U.S. Federal Reserve indicated on Wednesday that additional monetary tightening is required to contain inflation, contradicting market expectations that the central bank will scale back rate increases in the near future and turn to ease in 2019. This year, the Fed’s tightening of liquidity has agitated the asset markets.
The pioneering cryptocurrency is now going to be put to the test in the upcoming weeks. The essential test will be if it has the momentum to surpass a crucial ceiling of $24,700.
If it succeeds, bitcoin may go past $25K setting up bulls for a run toward $30K in September.
