Bitcoin touched its rock bottom of 2022 on June 18 when the world’s leading crypto hit the $17,700 lows. BTC has seen upsides and downsides (since then), spending most sessions beyond $20K. Now, Bitcoin price action might have another side. Tomas Hancar of CryptoQuant believes Bitcoin is about to bottom.
How It Happened
Hancar’s analysis shows the 20-dau SMA has stayed at neutral zones for three months. He added that the LTH (Longer Term Holder) output profit ratio around the 20 Simple Moving Average confirmed that the bottom shows a one-third in it. The analysts see the condition as similar to the 2018/2019 bull-bear market switch.
While Hancar’s analysis could mean investors might start buying, the analyst emphasized a cautious approach. He said Bitcoin might witness another plunge beneath $20K before confirming a decisive move beyond the level.
Who Else Admits?
Earlier, Glassnode data showed that the bear market wasn’t entirely over. Meanwhile, are other indicators supporting Hancar’s predictions? The Bitcoin chart shows the present market remained neutral as the 20-day EMA and 50 Exponential Moving Average maintained almost similar levels. This trend might see near-term investors attracted to watch BTC’s next moves.
The 200 Exponential Moving Average printed uptrend signals and remained beneath BTC’s $22,500 price in longer timeframes. Such a move might support Hancar’s forecast. While publishing this post, Bitcoin traded at $23,176 (Coinmarketcap data). With a 24hr 1,09% surge, purchasing more $BTC might be risky, whereas long-term investors’ choice to wait and watch might prove lucrative.
The crypto market saw slight upticks within the past 24 hours. The global cryptocurrency market capitalization saw a 1.13% surge to $1.10 trillion. On the other side, the market volume surged 2.35% over the last day to $65.55 billion.
Most assets hover in price levels seen over the past few sessions. Meanwhile, Ethereum leads large-cap tokens with gains within the past day. The second-largest crypto surged 3.43% over the previous 24 hours to change hands at $1.721.54.
Analysts believe caution is essential when interacting with the current crypto market. Prices seem primed to fluctuate in either direction. However, time will reveal everything.