The world’s biggest cryptocurrency, Bitcoin, has been consolidating in a tight range between $60,000 and $70,000 since March 2024. Amid this ongoing consolidation, FxPro trader Alex Kuptsikevich recently remarked that if Bitcoin closes below $60,000 on a daily timeframe, a panic sell-off may be observed in the Bitcoin market. However, crypto traders are also expecting that if Bitcoin breaks out above $65,000, the current sentiment might shift to bullish.
Bitcoin, Ether, Solana soars amid bearish sentiment
Today, on May 13, 2024, during the European morning hours, Bitcoin surged above $63,200, along with other top cryptocurrencies. Ethereum (ETH) and Solana (SOL) also experienced massive price surges, reaching intraday highs of $2,986 and $146, respectively. Additionally, Toncoin (TON) and Shiba Inu (SHIB) saw significant price surges, with TON, the token associated with the Tonchain blockchain linked to Telegram, leading the way with a notable 7% increase among major tokens.
Bitcoin is currently trading near $62,750, experiencing a decent 2.8% upside momentum in the last 24 hours. Looking at Bitcoin’s performance over a longer period, it has remained stable over the past 7 days, experiencing a downside momentum of 1.65%. However, over the last 30 days, Bitcoin has seen an upside momentum of 7%.
Despite these temporary gains, Bitcoin has largely remained range-bound between $60,000 and $70,000 since March, failing to sustain momentum following the highly anticipated halving event in April. Inflows from exchange-traded funds (ETFs) have tapered off in recent weeks, exacerbating the prevailing bearish sentiment in the market.
Alex Kuptsikevich view on Bitcoin
Kuptsikevich points to a concerning pattern in BTC’s price action, characterized by lower lows and lower highs, suggesting that investors are increasingly inclined to sell during price rallies. He attributes this downward pressure to several factors, including asset sell-offs by miners and growing concerns over potential regulatory measures in the cryptocurrency space, particularly in the aftermath of the mining difficulty adjustment following the completion of the April 20, 2024, halving.
Meanwhile, analysts at crypto investment firm Ryze Labs highlight the significant influence of short-term Bitcoin holders on market dynamics. They state that periods of notable profits for both long-term and short-term holders have historically coincided with market uptrends. However, the current scenario underscores the importance of closely monitoring short-term holder behavior, as their actions could serve as a leading indicator of future market movements.
