Why Bitcoin Could Rise To $53K, What Bulls Must Overcome

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Bitcoin is moving sideways in lower time frames as the crypto markets continue to operate without a clear direction. The first cryptocurrency in terms of market cap is trading at $ 47,837 with a loss of 1.2% in the daily chart.

Bitcoin BTC BTCUSD
BTC moves sideways in the daily chart. Source: BTCUSD Tradingview

The price of BTC moved very tightly during the week, unable to break above $ 48,500. Santiment data suggests an increase in the amount of BTC stock exchange hands since the beginning of September.

This suggests that investors could get more profits as Bitcoin tries to take previous high contributions to the bears ’attempts to take over the market.

As seen below, the BTC Token Circulation metric can be used to find a correlation between the price and the amount of stock exchange moving on the network. The company said:

Bitcoin is now sitting at $ 48.1k after an unchanged two weeks to open September. Especially the amount of unique tokens moving on the $ BTC network, known as token circulation, is large. 187.91 unique coins moved on Wednesday, the most since July 29th.

BTC BTCUSD
Source: Santiment

For analyst Justin Bennet, the price of BTC has broken its upward trend over the past week. In that sense the analyst found similarities between this event with the May price, when Bitcoin experiences the first of several capitulation events.

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The region of $ 48,000 to $ 50,000 is critical for the bulls, if the price of BTC has managed to take over the latter, Bennet expects a resumption of the bullish momentum. Otherwise, Bitcoin risks returning to less than $ 40,000. The analyst said:

Until then (BTC will return to $ 50,000), I will continue to believe that this week is a corrective move ahead of the next sale to $ 40,000. It is the same pattern as late April and early May.

Turbulent Week For Bitcoin And The Crypto Market

In addition to the increase in investor profit, the current week has seen some hurdles in prominent crypto projects and crypto-based companies. In addition to the threat of prosecution by the Securities and Exchange Commission (SEC) to Coinbase, Tether had to clarify rumors about the assets supporting USDT.

Related Reading | Bitcoin Price “Pitchfork Channel” Could Pin The Last Dip

On the other hand, a report of QCP Capital records a “quiet week” in the derivatives sectors. As seen below, financial rates for perpetual exchanges returned to neutral levels after negativity on 7 Septemberth.

Bitcoin BTC BTCUSD
Source: Skew for QCP Capital

With that in mind, QCP expects the current consolidation period to continue in the $ 53,000 range for Bitcoin, at least in the short term.

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At the end of September, the price of BTC could increase its levels of volatility due to the “massive end of month” in BTC options, as seen below. In addition to this, QCP Capital believes that Q4, 2021, could bring more macro-uncertainty into the market.

Bitcoin BTC BTCUSD
Source: QCP Capital



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