Bitcoin value holds $23.5K, main bulls to say ‘it’s completely different this time’

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Similar to Stockholm syndrome, the place captives develop a psychological bond with their captors, crypto winters have a method of flipping even probably the most bullish cryptocurrency supporters bearish in a brief time period.

Evidence of this actuality was on full show on July 19 after the restoration of Bitcoin (BTC) again above $23,000 was met with widespread warnings that the transfer was merely a fakeout earlier than the market heads for brand spanking new lows.

$BTC

Not unhealthy. But understand that this nonetheless can flip right into a classical faux out.

My common thesis nonetheless stays, bear market rally pic.twitter.com/VxnH4mo6hW

— Jimie (@Your_NLP_Coach) July 19, 2022

While the potential of new lows being set sooner or later can’t be dominated out, right here’s a take a look at analysts’ opinions on how this BTC breakout might be completely different than most traders count on.

This time “it’s completely different”

The pointed message of “this time is completely different” was provided by pseudonymous Twitter person Trader XM, who posted the next chart outlining why BTC is poised to go greater.

BTC/USD 4-hour chart. Source: Twitter

As highlighted on the chart above, BTC value didn’t retest the vary low whilst 4 retests of the vary excessive happened, and this implies that consumers at the moment are stronger than sellers.

In response to the submit from Trader XM, Twitter person Justiinape replied “$27K-$28K appears imminent.”

Trader XM mentioned:

“Agree my man, transfer to $27-28K then months of consolidation. Let’s get pleasure from this transfer earlier than the lengthy hibernation.”

The subsequent main resistance is at $27,100

Further proof that BTC might head greater was equipped by the on-chain knowledge agency Whalemap, who posted the next chart highlighting the dearth of shopping for demand between $23,000 and $27,000.

Bitcoin quantity profile. Source: Twitter

Whalemap mentioned:

“$27,100 needs to be the primary resistance on our method up. Big hole in provide between present costs and $27K.”

Related: Bitcoin value strikes towards $24K and merchants count on additional upside, after a assist retest

Shorts get REKT

Proof that crypto merchants had been lulled into an excessively bearish outlook was supplied by cryptocurrency analyst Dylan LeClair, who posted the next chart displaying the impact that Bitcoin’s transfer above $23,000 had on the futures merchants.

BTC/USD 2-hour chart. Source: Twitter

As highlighted on the chart, there was a considerable amount of Bitcoin quick positions opened between June 15 and July 15, and these merchants now discover themselves on the shedding aspect of the commerce.

LeClair mentioned:

“Tens of 1000’s price of BTC quick open curiosity presently underwater.”

While Bitcoin reversing course and heading decrease as soon as once more stays a chance, the present momentum suggests additional upside within the quick time period.

The total cryptocurrency market cap now stands at $1.055 trillion and Bitcoin’s dominance price is 42.1%.

The views and opinions expressed listed below are solely these of the writer and don’t essentially replicate the views of Cointelegraph.com. Every funding and buying and selling transfer entails danger, you need to conduct your personal analysis when making a choice.

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