The price of the leading cryptocurrency Bitcoin [BTC] is presently below $9,200 USD, which has acted as a key price since late May. Consistent with Cole Garner, if Bitcoin falls right down to the $7,000 USD, it’s going to be the last dip below $10,000 USD within the long-term.
In line with On-chain data analyst Garner:
“Technically we’re still in bull market territory. An opportunity below the VWAP [the green level] may be a juicy buy the dip opportunity. might be the last BTFD below $10k. Ever.”
Traders Are Very Optimistic About BTC’s Bullish Run
As reported earlier, analysts are cautious about Bitcoin mainly due to four major factors. Namely, increasing selling pressure from miners, uncertainty within the stock exchange, consolidation at a pivotal price point, as well as declining volatility.
Miners selling an outsized amount of Bitcoin isn’t new, however, because they have been selling most of what they mine daily since the halving on 11th May.
However, the sell-off of miners coincides with other concerning factors like the CME Bitcoin market being net short. It suggests professional traders are participating back foe a short lived pullback in the price of BTC.
Adding further, Garner explained:
“And CME commitment of traders shows institutions are massively net short BTC, and are for several weeks. They’ve only been this net short once before: the last time Bitcoin hovered around this same price.”
Moreover, the data from the Bitcoin options market supports this narrative. On 26th June, the BTC options market saw the most important expiration in history with $675 Mln worth of options. However, the worth of BTC didn’t portray an enormous spike in volatility, which indicates most of the choices were filed when BTC was within a tight price range somewhere in-between $9,000 USD to $10,000 USD.
Presently, the Bitcoin options market is usually net neutral, while the CME futures exchange remains net short. When that’s combined with the very fact that miners sold 1,115 more BTC than they mined since 19th June, the trend can become even more gloomy.