Home » Bitcoin (BTC) and altcoins turn green: $22,000 soon?

Bitcoin (BTC) and altcoins turn green: $22,000 soon?

by Tim

The cryptocurrency markets seem to be getting a breath of fresh air this week. Bitcoin (BTC) is approaching $22,000, and Ether (ETH) is also rising. Will the trend continue? We interviewed analyst Prof Chain.

Bitcoin (BTC) soon to hit $22,000

In the midst of a bear market, the price of Bitcoin (BTC) has for weeks been closing in the red, raising fears of an even bigger drop in the largest cryptocurrency. This week, however, the Queen of Cryptocurrencies seems to have regained some strength. It is posting +11% over the past seven days, and is closing in on the $22,000 mark, briefly touched overnight:

BTC is up +21% since the beginning of July

BTC is up +21% since the beginning of July


In Ethereum (ETH), the progression is even more marked. Ether is up 17% over the past seven days, and is approaching the $1,250 mark. The other major crypto-currencies also show net gains over the week, with +11% for Binance’s NBB and +12% for Solana’s SOL.

In a sign of this progress, the total capitalisation of crypto-currencies surpassed $1 trillion overnight, before dropping slightly:

24-hour progress in total cryptocurrency capitalisation

24-hour progress in total cryptocurrency capitalisation

A trend that will last

Hence the legitimate question: will Bitcoin and other cryptocurrencies finally make a sustainable recovery? For Prof Chaîne, on-chain analyst at Cryptoast, the pump is due to several factors:

Liquidity is down on exchanges, and we are also seeing a lot of demand due to current price levels. On top of that, there are over $200 million in short liquidations. This is combining to create a slight pump for BTC. “

We remain on a short-term view from market participants though:

” In the short term, the market is making small profits and the number of entities in profit on the chain is rising slightly. For the time being, the number of participants taking advantage of this rise to sell close to their break-even point and leave the market is very limited. Instead, there is a buying phase following the recent rise. “

So what can we expect? For Prof Chain, it is unlikely that participants will take advantage of this rally to leave the market. As we have seen in the past few weeks, the strong hands have stood out in the face of considerable selling pressure:

“The scenario of a new dead cat bounce (where participants sell a short term rise in a bearish cycle to exit the market) is not the most likely but not to be excluded. “

So caution is still in order. with some traders setting the key threshold for Bitcoin at $23,000:

So the question persists: has BTC hit its bottom? Given the broader conditions surrounding the market, one must remain cautious about this more positive week for prices.

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