Bitcoin (BTC) fell below $29,000 on August 3 due to market concerns about the world’s largest exchange; Binance again provoked a fall in BTC prices.
BTC price analysis is “waiting” for it to touch a known support level again
Data from Cointelegraph Markets Pro and TradingView showed BTC price declining ahead of a modest rally at the Wall Street open.
Rumors of further U.S. lawsuits against Binance made the 24-hour bitcoin bulls disappointing after briefly climbing above $30,000.
Since the trading range is still static, monitoring of the resource Material Indicators predicts that BTC will re-touch the trendline support level.
Want to know what has changed to #Bitcoin Daytime schedule in the US at night?
According to #TrendPrecognition algos, the probability of a downward movement in the Daily TF increased from >75% to >84%.
— Material indicators (@MI_Algos) August 3, 2023
“If you’re surprised, confused, or think bilateral volatility is over, then you haven’t been paying attention.” He said part of the previous analysis.
For his part, popular trader Daan Crypto Trades suggested that the current BTC price action was nothing more than a continuation of an all-too-familiar pattern.
The last few weeks have been the same.
1. The price is going down
2. Shorts get aggressive
3. Shorts shrink/Price rises
4. Spot starts selling
5. The price is transferred.
Rinse and repeat.
Until spot starts trading after these squeezes, we will just keep doing these full pullbacks. pic.twitter.com/vGgKUFI00f
— Daan Crypto Trades (@DaanCrypto) August 2, 2023
“I’ve said this before, but I’ll say it again… The longer the price stays here, the stronger the next move.” added that day.
Others downplayed the Binance story. Ki Yong-ju, CEO of analytics platform CryptoQuant, said panic over solvency issues would not be an event.
“I’ve heard about ‘bank risk/failure risk on Binance’ hundreds of times over the years, but their user balances always say otherwise.” tweeted along with charts showing BTC and Ether (ETH) exchange reserves.
Bitcoin volatility could undermine stocks and gold
Overall, however, Bitcoin volatility remains at historically low levels.
According to the Bitcoin Historical Volatility Index (BVOL), weekly volatility was approaching all-time lows seen in early 2023.
This is consistent with existing comparisons to January, and the Bollinger Band data also repeats the period just before Bitcoin’s Q1 breakout.
Dylan Leclerc, chief analyst at digital asset fund UTXO Management, further noted that the 10-day realized volatility was almost lower than that of US stocks, bonds and gold.
— Dylan LeClair (@DylanLeClair_) August 3, 2023
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