Coinbase plans to fight back. Coinbase has been chosen as a financial partner by players such as Blackrock and Ark Invest for Bitcoin ETF applications. The company must fight against regulation in the USbecause it has a big chance. In the meantime, the Bitcoin price stagnates at around $30,000. Buyers and sellers are neutralizing each other. However, is it possible that the price could one day return to $16,500?
Bitcoin price stagnates at $30,000
For the time being, buyers are managing to defend the support level at $30,000. Buyers and sellers neutralize each other, and the Bitcoin price stagnates in 24 hours :
The price marks a 1.7% drop in one week. By contrast, the climbs nearly 15% in one month. Meanwhile, BTC/ETH fell by 3.3% in one week. In one month, the climbed 2.7%.
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In the event of a severe fall, the Bitcoin price could find support at $16,500
Thanks to on-chain analysis, it is possible to identify various network movements. In fact, it is potentially possible to know when bitcoins have been bought, and therefore at what price. For example, if a large quantity of bitcoins was purchased at 50,000and the price is 60,000 dollarswe can deduce that the $50,000 level is a support for the Bitcoin price. Here is the current breakdown of bitcoins acquired :
Thanks to data from Glassnode, we can see that operators are in the process of strongly accumulating below $30,000. It seems that there is a huge amount of bitcoins traded around 31,000 dollarsmaking it a resistance zoneas long as the price remains stuck below it. We can see that, if the price exceeds this resistance, there is little resistance before the zone at $38,000 – $42,000.
On the other hand, in the event of a black swan, i.e. aunexpected eventthe price could surprise traders and break one support after another. This was the case in March 2020 during the Covid crash, when the share price fell by 50 % in just a few days. Here, we can see that there’s a significant support around $16,500. It would not be impossible to see the price back at this level within a few months. If this scenario unfolds, the operators could defend this level.
Bitcoin price bounces off support at $29,800
Bitcoin hasn’t given up the ghost. For the time being, the is bouncing back at the support at $29,800. This is also the bottom of the range which has been in place for nearly a month:
If the rebound continues, buyers will have to contend with the resistance at $30,500. If the intermediate level of the range gives way, the price could once again face the resistance at $31,500. On the other hand, if the price falls and breaks the support at $29,800the price could return to the support at $28,500. The RSI is attempting to rebound to the bearish trendline. Buyers have the opportunity to maintain momentum in the short term.
Traders seem to be accumulating below $30,000. In fact, many support zones are being created. On the other hand, it is not impossible that the price of Bitcoin support at $16,500, particularly in the event of a black swan. For the time being, buyers are managing to hold support at $30,000. The price should now resume support at $30,500.
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