Bitcoin price fails to hold $20K again, but there is a silver lining

The markets briefly turned green on Sept. 27, after equities markets rebounded from Sept. 26’s pullback. This brought the Bitcoin (BTC), price back to the long term descending trendline resistance at $20,100.

Bulls were disappointed when the positive momentum in stocks and cryptocurrency quickly waned. Bitcoin lost a large portion of its intraday gains and fell below $19,000.

BTC price has not been able to rise above resistance since March 25th. The Sept. 27 break at the trendline continued the trend of bear flags that have seen a continuation of the downside.

BTC/USD 1-day chart. Source: TradingView

Arcane Research says that Bitcoin’s rally above $20,000 is insignificant considering futures premiums remain low and it “contributes very little to improving market risk appetite.”

BTC perpetual contract funding rate versus Bitcoin price. Source: Arcane Research

Arcane Research also shows that funding rates have turned neutral for the first-time since Sept. 13. However, traders are generally reluctant to add longs due to concerns about macro challenges and the constant threat of unfriendly cryptocurrency regulation.

There is a silver lining

BTC price has been trading in the same $24,300 to $17,000.00 range for the past 103 days, as previously mentioned. Bis now, there has not been a catalyst for price to fall below swing lows or push it above resistance to confirm that the former hurdle is support.

It’s not all bad news for Bitcoin. Glassnode, an on-chain analytics provider, has some good news. They noted that mature investors are choosing to hold onto their positions and not sell at the current price.

The Revived Supply 1+ Year metric is an indicator that tracks the “total quantity of coins that return into circulation after being inactive for at least one year,” and the flow of latent supply moving back into the active pool is “extremely small.”

Revived Supply 1 Year+ Z Score. Source: glassnode

The recent revisits below $20,000 have not seen the same compression in mature spending as in the final stages of the 2018 bull markets. This suggests that long-term investors are comfortable with volatility and will not sell at current prices.

Revived Supply 1 Year+ Z Score. Source: glassnode

BTC is down 72% from its peak and some investors expect prices will plummet to $10,000 in the next unanticipated capitulation event. One could interpret the lack panic selling by mature investors as a positive sign.

com. You should do your research before making any investment or trading decision.
https://cointelegraph.com/news/bitcoin-price-fails-to-hold-20k-again-but-there-is-a-silver-lining

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Donna Burk– Business News My Name is Donna Burk and I am also the main source from the ‘Dailynewssheet.com’ of all the exclusive and most delicate visualization of the activities in the business sector. My first step towards this journey was taken in the very early years of my life. I started with an independent financial consultant. However, I only had almost 4 years of skills and experience in this market. I have always been a free personality and like to fly one place to another, to explore more and more. Moreover, this passion and craze of traveling gave me a chance to report a section for best news associations. Last but not least, I am presently working full-time as an editor.

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