Cryptocurrency News

Traders Watch Bitcoin Price Close to $41K to Confirm Bullish Reversal


Bitcoin started the week with a strong breakout of $40,900 but today the bulls are trying to keep bitcoin price above the $40,000 level.

As the price broke the $31,000 to $39,000 range on June 14, traders speculated that setting a daily high and close above $41,000 would propel BTC to $47,000, but the lack of continued buying volume and the much-talked-about possibility A death cross between the 50- and 200-day moving averages are factors that can keep traders alert.

BTC/USDT daily chart. Source: trading view

According to Simon Peters, an analyst at eToro:

“Bitcoin is at its highest level since May, marking a remarkable recovery, but the crypto asset is yet to reassess – and most importantly, above – the $41,000 mark.

While sentiment has improved and futures premiums have corrected after entering a near-backward last week, analysts were unable to confirm that the bull trend has resumed.

Peters said:

“We have seen price face resistance at this level earlier this year, when it was trading around an all-time high, and I feel optimistic about a price correction and a potential push up.” Would need to see a really strong growth for that at $50,000 and above.”

Sentiment has improved but the market is flat

Deribit bitcoin option 25% delta skew. Source: laevitas.ch

Regarding the lack of follow-through from bitcoin’s June 14 pump, Cointelegraph analyst Marcel Pechman shared the above chart, saying that the 25% delta is skewed. No longer indicating that excessive fear exists in the market.

Pachman said:

“The Arbitrage Desk and market markers are currently uneasy with the price of bitcoin as the neutral-to-bearish put option premium remains high. However, the current 7% positive skew is a far cry from the 20% exaggerated fear seen at the end of May.”

Even though day traders are on the fence about trend status, several on-chain metrics, including the Hodler net position change, suggest that investors are still looking for excellent buying opportunities from the recent $30,000 drop and bitcoin’s current price of $40,250. see as. .