Bitcoin (BTC) prices edged up slightly over the weekend, registering a gain of nearly 2% as bulls were in control – but only momentarily.
On a short-term basis, the price of bitcoin gained considerable momentum on 23 October, appreciating around 2.8% in a matter of hours. Nevertheless, there was a sharp reversal of fresh gains, with the bears pulling BTC price back towards the $19,300 low.
Bitcoin Price Still Under Bear’s Control
On October 23, BTC price reached a high of $19,695 and then returned to the $19,300 mark. The $19,600 level has acted as an important resistance on the short-term chart of bitcoin.
At press time, bitcoin was trading up 0.75% at $19,332 on the daily chart. The $19,130 mark is acting as the next major support.
Messari data shows that bitcoin’s current price action is heterogeneous, but not unique. BVOL measures the rate at which the BTC price fluctuates over time. Interestingly, BVOL was taking some drastic moves, and the last three BVOL closings below 25 have resulted in major moves.
The two moves were bullish, and a BVOL drop below 25 resulted in a bearish position.
old bitcoins running
Over the past few days old bitcoins were deposited on cryptocurrency exchanges – especially coins aged between 2-3 years and 3-5 years. Such movement usually results in negative short-term price action.
The trajectory of bitcoin’s price now largely depends on the behavior of the S&P 500. Bitcoin investors in the above age group expect further downside in the S&P 500.
According to Cryptoquant analyst, the stock market can expect two more big selloffs on November 22, 2022 and December 23, 2022, according to the fractal analysis.
Cryptoquant’s sentiment analysis highlighted that concerns over volume dominance were visible. Notably, after a one-month period where bitcoin was the most traded coin on exchanges, altcoins began to dominate.
On 23 October, 50% of the trading volume on the exchanges came from altcoins.
Interestingly, during the time period when altcoins traded heavily on exchanges, the following scenarios occurred:
- November 2021 – January 2022: BTC price drops from $67,000 to $36,000
- April 2021 – June 2022: The price of bitcoin falls from $47,000 to $20,000. happened
Whether there will be another drop in the price is yet to be seen. For now, the next bitcoin price resistance is found at the $19,600 mark. The $19,000 level is acting as the next major support.
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