On July 9, Bitcoin and the broader cryptocurrency market experienced a moderate relief rally that helped recover some of the losses seen on Thursday, but a handful of analysts continue to warn that BTC may still fall to $ 24,000 to $ 29,000 in the short term.
Data from Cointelegraph Markets Pro and TradingView show that the price of Bitcoin was offered higher during the morning trading hours on Friday and managed to climb back over $ 34,100.
Sentiment among traders got a slight boost after the Bitcoin price turned around and ran back to $ 34,000, but the price still gets caught between key resistance and support levels and the lack of buying volume is still a valid issue.
Tempting Beef, a pseudonymous trader on crypto Twitter, also pointed out that overall crypto market coverage and altcoin market coverage remain in an uncertain position.
#Crypto total market value and altcoin market value both fail to reverse their core revolutions and form lower highs. Me sad.
Unless we pull it together, I expect we̵7;re just playing in this range maybe with some standouts like $ AXS. Could be a boring summer. pic.twitter.com/Ab4eVSCbdo
– Tempting Beef (@tempting_beef) July 8, 2021
Élie Le Rest, partner at digital asset management firm ExoAlpha, also pointed out that the market, along with the “non-directional trend” in BTC, is also “witnessing a decline in trading volume”, which has led to “wilder reversals in range and damage” directional dealers. ”
Le Rest said:
“In this area, we see pumps and dumps with prices slowly grinding higher before slamming down quickly, typically for low-liquidity markets.”
Because of market volatility, Le Rest sees market participants remain on the sidelines as they wait “for Grayscale confidence to stop reading their Bitcoins and for the Chinese regulatory breakdown to cool.”
Le Rest also pointed to the control that financial regulators around the world place on Binance, as “a significant problem that reduces the market’s capacity to make the necessary capital inflow break above $ 40,000”.
According to Le Rest:
“Despite these elements already priced by the market, we continue to witness strong Bitcoin adoption by traditional asset managers seeking a good entry point to be placed for the next stage up.”
Sign up for support over $ 30,000
While it is true that the BTC price fell below the weekly support level near $ 34,500, the pseudonymous crypto-Twitter analyst Rekt Capital was quick to point out that the price found support at another established support level near $ 32,200, resulting in ” no major change in trend. “
Related: Bitcoin is a miracle and better than gold, says Apple co-founder Wozniak
One possible bullish indicator highlighted by some analysts is the Bitcoin metric ‘Units Net Growth’, which has risen to new heights in recent weeks as the price of BTC fell below $ 40,000.
In times like these, when uncertainty reigns, the simple strategy of averaging dollar costs is one that even the most experienced traders turn to in order to reduce stress and refocus on the long-term price outlook.
If the Bitcoin price drops, I buy more.
If the Bitcoin price rises, I will also buy more.
That’s the beauty of average dollar costs.
– The Wolf of All Streets (@scottmelker) July 8, 2021
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading movement involves risk, you have to do your own research when making a decision.