Everyone is waiting for the answer to this question: “Is it over?” So, has the decline really ended? The BTC chart might provide an answer. We have many motivational details supporting the rise from various aspects. For example, sales in Germany are almost over. Interest rate hikes have ended, and inflation continues to fall. Growth on the employment front has ended. So, will the crypto rise begin?
Current State of Cryptocurrencies
On July 8, BTC started a new attempt, and on July 10, the price reached the $60,000 mark. However, the region has not been surpassed yet. The ongoing demand at lower levels is positive. Since July 5, investors in the ETF channel have made an entry of $650 million. This shows that investors familiar with traditional markets are becoming more risk-tolerant as US stocks rise.
Germany will soon count another 6,000 BTC, and it is unclear to what extent MTGOX returns will result in sales in the markets. However, the feared rapid sales pace is easing because Germany still holds about 10,000 BTC. According to Glassnode data, the fear and greed index tested the January 23 low of 27, indicating that we might have reached a real bottom after months of decline.
If the inflation data coming in a few hours is at or below expectations, we should see relief in crypto as the Fed sees another convincing data point towards its 2% inflation target. However, if inflation is high, the optimism brought by the recently revised downward employment data will be undermined, and the story that there will be no rate cuts this year will gain more traction.
Bitcoin Price Prediction
The jump on July 8 shows that the support area between $53,485 and $56,552 is strongly defended. The 20-day exponential moving average is at $60,217, and if reclaimed, significant movement in altcoins could be triggered. However, the attempt in the last 24 hours reversed with sales around $59,400, and the price gradually declined, erasing $2,000.
BTC was hovering around $57,500 at the time of writing. The bears’ current target is to push the price below the defended support area if the inflation data exceeds expectations or the MTGOX FUD is highlighted. This could lead to a drop to $50,000.
If EMA20 is surpassed, a potential attempt towards the 50-day simple moving average at $64,970 will be opened. Thus, the price can focus on the mission of raising the ATH target of $73,777 even higher.
