10 July 2024
In a recent episode of Crypto Banter’s “The Sniper Trading Show,” the analyst dissected Bitcoin, discussing various hurdles and approaches to handle trading through these challenges.
With Bitcoin currently teetering around the $57,403 mark, up by 2.4% in the past 24 hours yet still down 21.9% from its March peak, the market sentiment is cautiously tinged.
This cautious stance is echoed by the Crypto Fear and Greed Index, which the analyst shows stands at a wary 28, indicating that buyers are getting “cold feet”—a sentiment that historically signals buying opportunities though with a careful approach.
The analyst reminded the viewers to keep an eye on longer time frames, drawing from a consistent bullish stance on Bitcoin since its $10,000 valuation in 2020.
Is Bitcoin Setting a Trap?
The analyst pointed to critical resistance levels at $65,000 and $70,000, cautioning that the market could see a bounce back or bull traps set to liquidate over-leveraged positions.
Throughout the conversation, the analyst then discussed Bitcoin’s current struggle to maintain support above a very important range of $60k-$61k recently– one that proved strong as support has now become a formidable resistance.
According to the analyst, this inability to break through this price range, now seen as resistance, suggests a changing market structure where previous supports become resistant, potentially stalling further price ascents.
The analyst discussed the possibility of Bitcoin entering a range or getting ensnared in a trap that could precipitate a flurry of liquidations, emphasizing the need for traders to be versatile and prepared for sudden market movements.
Outlook On Altcoin
Adding to the mix, the analyst identified that the small dip in market dominance for Bitcoin hints at a possible uplift for altcoins should the broader market sentiment pivot to bullish.
He emphasized that this gradual change might indicate a potential upside for altcoins, consistent with prior times when Bitcoin dominance started to fall before any uptrend amongst the alternative cryptocurrencies.
Meanwhile, recent technical analyses from prominent Analyst Ali reveal Bitcoin is inside a parallel channel on higher time frames, and TD Sequential has just presented with a buy signal hinting at a possible short-term rebound to around $58,300.
In contrast, CryptoQuant CEO Ki Young Ju offered a more subdued viewpoint toward the ongoing miner capitulation, suggesting that the market might lack excitement for the next few months. He advised maintaining a long-term bullish outlook but cautioned against taking excessive risks during this period.
The market is absorbing all #Bitcoin sales nicely. Demand is strong.
— Samson Mow (@Excellion) July 9, 2024
Featured image created with DALL-E, Chart from TradingView