Bitcoin (BTC) continued to display minimal volatility as of August 12, maintaining its astonishing price action. The BTC/USD trading pair remained steady around the $29,500 level, which has become a significant battleground between bulls and bears in the market. Experts anticipated the usual weekend chop in trading activity, with the closing price of CME Bitcoin futures markets at $29,465 being a key reference point.
The lack of movement in Bitcoin throughout the week surprised many market participants. Michaël van de Poppe, CEO of trading firm Eight, expressed his astonishment at the price action and reiterated his belief in upward momentum for BTC. He added that if the price were to drop below $29,000, he would be inclined to buy at $28.2K. However, if the price surpasses $29.7K, he expects a rally in the market.
In terms of on-chain data, analysts observed long positions emerging from Bitcoin whales. This indication of confidence from large investors added to the narrative of potential upward movement in BTC. Additionally, monitoring resource Material Indicators suggested that the rangebound status quo would likely persist, with volatility potentially increasing as the week came to a close.
Traders also examined the lack of volatility in Bitcoin and speculated that a significant return to trend was imminent. TechDev, a popular trader, noted that BTC was approaching historic compression levels above the 20 MA (moving average) on three-week timeframes. This observation was supported by a chart displaying BTC’s price behavior following similar episodes in the past, which occurred only four times since Bitcoin’s inception. Fellow trader Credible Crypto shared the sentiment, stating that historic compression often leads to historic expansion, indicating the potential for significant price growth.
While the price of Bitcoin remained relatively stable, this article does not provide investment advice or recommendations. It is essential for investors and traders to conduct their own research and exercise caution when making financial decisions.
In conclusion, Bitcoin continued to exhibit minimal volatility, with the BTC/USD trading pair holding steady around $29,500. Traders anticipated the usual weekend chop in the market, and analysts observed long positions from Bitcoin whales, suggesting confidence in upward momentum. The lack of volatility led traders to believe that a significant return to trend was on the horizon, with historic compression levels indicating the potential for substantial price growth. However, it is crucial for individuals to conduct their own research and assess the risks associated with any investment or trading move.
Source link
