Bitcoin Bulls defend opening in 2021 after BTC price rebounded 6% from $ 29,000

Bitcoin bulls could celebrate a modest profit on July 21st after the BTC / USD price stays at the 2021 opening price.

BTC / USD 1-Hour Candlestick Chart | Source: TradingView

BTC is reclaiming $ 31,000

Data from TradingView shows that the largest cryptocurrency has not fallen below $ 29,000 in the past 24 hours.

After breaking the $ 30,000 support, many fear Bitcoin will break the May lows and continue to drop to $ 24,000 or below. Fortunately, these did not occur in the end.

That brings BTC / USD back above $ 31,000 at press time, but bottoming out is still a topic of discussion.

For analyst Michaël van de Poppe, Bitcoin’s failure to return to May levels opened the door for another test. By and large, behavior then and now follows an uninterrupted trading pattern.

Brothers Summary Before the price recovers:

“Bitcoin still operates within these wicks. Didn’t take enough liquidity as there are still some wicks left. However, the daily candle on the ETH chart is interesting because this candle is supported. Let’s see if we lose that point and get to the next $ 26,000. “

BTC / USD with support and resistance zones | Source: Michael van de Poppe

He added that Bitcoin is “incredibly cheap” at under $ 30,000.

Trader Crypto Ed, meanwhile, thinks the time for real recovery has not yet come. Brothers tweets:

“So far, the EW label has attracted attention. It remains to be seen how this rally plays, but perhaps a corrective rebound before further declines. Always expect the unexpected, so I identify the levels at which the case will invalidate and become bullish. The time is just not the right one. “

Source: Crypto_Ed_NL

Order book data shows The resistance at $ 31,000 represents a hurdle for the bulls, which propelled the market 6.05% to an intraday high of $ 31,519. Support at $ 29,000 and below remains in place despite the previous test.

BTC / USD (Binance) Buy and Sell Levels as of July 21st | Source: Material Indicators / Twitter

Unlock GBTC on Sunday

Bitcoin is rebounding despite the unlocking events by the Grayscale Bitcoin Trust (GBTC) and most of the stocks issued.

According to data from tracking resource Bybt, the total of the remaining activations is less than the one that happened just last Sunday.

On July 18, around 16,240 BTC in GBTC shares ended the six-month lock-up period. With such a large one-day publication, the event released enormous amounts of BTC and sparked heated debates about the possible impact on the price of Bitcoin.

Monday’s drop in BTC price is in line with the narrative that larger issues will be followed by a sell-off.

Even if that’s true, there is a boon to Bitcoin hodlers as the next unlock is scheduled for August 25th and fewer shares are left than the Sunday batch.

GBTC unlock table | Source: Bybt

In reality, however, there is a lack of evidence that the unlock event led to the sell-off. As various sources point out, even with such events, the Bitcoin market is actually completely independent. Since GBTC shares cannot be exchanged for BTC, they could theoretically be sold for cash or stablecoins.

“Grayscale just had the biggest GBTC unlock ever and nothing exploded. Another big activation on the 20th and then the whole story of the Bitcoin crash caused by GBTC is over. Which FUD are they going to start next? ”Famed Twitter Commenter Lark Davis write on Monday, citing Bybt numbers.

This “FUD” nonetheless infiltrated some of the most famous names in the financial industry, including banking giant JPMorgan.

“The sale of GBTC shares after a six-month lock-up period in June and July turned out to be another downside factor for Bitcoin,” a report said earlier this month.

Meanwhile, interest in GBTC and other Grayscale products remains.

Both Rothschild Investment Corp and ARK Invest topped up their holdings in July, with ARK Invest adding 310,000 shares.

“GBTC makes hundreds of millions of dollars in face value every day and it really is the easiest way to get more investors, more exposure to cryptocurrencies and stocks, bonds, ETFs, and so on speak with Bloomberg on Monday.

A survey of Fidelity asset managers among institutions also found many positive long-term approaches to cryptocurrencies, with 71% of respondents planning to enter the crypto market in the future.

Minh Anh

According to AZCoin News

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