Positive mood surrounds bitcoin. But, the largest crypto by market cap failed to cross the $50,000 psychological barrier once again.
Bulls were unable to gather momentum to strike past $50,000, and BTCUSD has been closing below this level since its short-lived poke at $50,000 last Monday. Bitcoin’s jerky price actions reflected a 3.71% price drop on Monday, trading from $48,802.5 to $46,994 at day’s close. That’s a rapid $2000 decrease in 24 hours.
On Tuesday, BTCUSD closed at $47,129.5 with a 1.03% increase intraday. Despite a lackluster performance in the past few days, analysts believe a further upside could happen as bullish indicators spring from many directions.
Blockware’s lead insights analyst William Clemente III shared that Bitcoin’s illiquid supply RSI “has the most momentum” in recent history and could go much higher in the coming months. Data from Glassnode also showed sky-high bitcoin illiquid supply at 14.44 million, signaling renewed holding sentiment.
Bitcoin illiquid supply refers to coins that are held outside exchanges. These coins belong to the circulating supply, but are not available for selling or trading. High BTC illiquid supply could create a supply crunch when demand goes higher, potentially boosting BTC prices.
More companies joined the bull’s bandwagon, including Blockstream with its $210 million raised funding to expand its mining production and start its own ASIC miners. Renowned bitcoin whale MicroStrategy also announced recently its $177 million worth of additional bitcoin purchase. The leading business intelligence company now holds 108,992 bitcoins worth almost $3 billion.
Meanwhile, El Salvador is preparing for its nationwide non-mandatory adoption of bitcoin in September. It will be the first country to use bitcoin as a legal tender (alongside USD). According to President Nayib Bukele, their bitcoin adoption will allow 6.5 million El Salvadorians to use bitcoin to pay for goods and services and facilitate easy and cheap remittances. El Salvador’s Legislative Assembly passed the first-ever Bitcoin Law last June 8, 2021.
BTCUSD is up by 60% from the July low. Huge price moves could begin anytime soon. So follow PrimeBit’s BTCUSD charts and don’t miss any opportunities.
These are exciting times to trade crypto.