$66K BTC Price Now ‘Critical’ — 5 Things to Know in Bitcoin This Week
Bitcoin starts the new week on a different note following a one-month low until June.
Bitcoin (BTC) price action has taken a negative turn after challenging the $70,000 resistance multiple times. What could happen next?
As a stubborn trading range continues to dictate Bitcoin market movements, traders and analysts alike are wondering what the future holds – and whether bulls or bears will take over.
A flurry of US macroeconomic data and related Federal Reserve comments took a toll on Bitcoin last week, with the largest cryptocurrency shedding 5% and briefly falling below $65,000.
While fewer macro triggers remain this week, employment figures could still surprise as the US inflation picture offers signs of risks to assets.
Many are playing a wait-and-see game when it comes to BTC/USD – there's nothing left to do but wait for the range to show signs of a reversal.
Under the hood, meanwhile, as the “capitulation” phase continues to play out, Bitcoin miners are adjusting to the new post-halving reality. Network fundamentals are slowing this week with mining woes down 1.3%.
At a time when all-time highs seem out of reach for the time being, Cointelegraph takes a detailed look at the main BTC price for market watchers and participants.
The price of BTC will decrease with the support failure
A damaging week for Bitcoin bulls ended with BTC/USD down 4.3% on the weekly close, data from Cointelegraph Markets Pro and TradingView confirms.
After breaking a one-month low, the bulls managed a modest turnaround to bring the market's focus back to $66,000 – a level that remains in play until June 17.
Although it could have been worse, the “red” week offered little hope for those looking for a decisive resistance/support reversal at the key levels of $69,000 and above.
“Bitcoin Remains Red on 3-Day Hunter. There is still no sign of a significant trend change,” trading suite DecenTrader told subscribers of the latest signals on X, a proprietary trading indicator.
Tracking Source Data CoinGlass $66,000 Now Shows How Key Liquidity Is To The Order Book.
Therefore, narrow corridor developed, TradFi failed to change the situation in the first Asian trading session of the week.
“Lateral price action – generally speaking – is not a bad thing. It's impatience,” noted trader Jelle continued in his latest X analysis.
Like all other times, this one is sure to be resolved.
Jelle described the weekend's moves as “typical” for Bitcoin.
“Bullish divergence is locked, and the price is trying to hold above $66,300. It's time for the bulls to wake up, and take this back to the range,” he added about Relative Strength Index (RSI) values.
Others looked for a note of optimism, otherwise BTC price action has been in place for several weeks now. Among them was analyst Matthew Hyland, who said Bitcoin's 10-week simple moving average (SMA) remained intact after a recent breach.
Jobless claims highlight a cool macro week
After the macroeconomic deluge in June, the coming week will provide some welcome relief for risk asset traders.
US jobless claims alone will cause volatility across crypto, the sector said in 2018. It shows a surprising vulnerability to unemployment throughout 2024.
The Juneteenth holiday gives the US market a break on June 19, which is a day after unemployment claims.
Commenting on the week ahead, trading inputs indicated the impact of continued data releases on market expectations of a significant easing in US financial policy.
Big swings in Fed expectations continue to be incredibly profitable to trade this year — a key bullish impetus for Bitcoin and altcoins — in a summary of volatile bets on Federal Reserve interest rate cuts this year.
The latest estimate from CME Group's FedWatch Tool shows that the Fed's September meeting remains the most likely date for the start of tapering. The chances of the next meeting in July are now only about 10%.
“For me, the takeaway from last week is that the data is clearly pointing to a shift to a more hawkish monetary policy,” financial analyst Tedtalksmacro wrote on the X thread over the weekend.
“Reinforcing my view that dips are buying opportunities for riskier assets like cryptocurrencies + stocks.”
Tedtalksmacro agrees that $66,000 is a key level to hold ahead of any macro surprises.
“It's critical that Bitcoin holds $66,000 support for the coming week – if broken, sellers could take a strong foothold in the market and force immediate liquidations from bulls,” he warned.
Bitcoin mining capital at high speed
Bitcoin network fundamentals take into account recent discoveries as miners face new economic challenges.
Current estimates from BTC.com predict that mining difficulty will decrease by 1.3% at the next automatic update on June 20.
This highlights the overall mixed landscape since April's ban on subsidies was halved, as miners continue to adjust to new economic realities.
According to Cointelegraph, a “capitulation” level is currently underway on Hashret, with the 30-day moving average below its 60-day counterpart. This, as shown by the hash ribbon metric, is indicative of the pre-release BTC price level.
“Following the recent Bitcoin halving, we have seen challenging conditions for miners for almost a month,” Kripto Mevismi, promoter of Onchain Analytics Platform CryptoQuant, wrote in his Quicktake Market Update last week.
According to Hashribbon's analysis, miners themselves “do not have the power to significantly influence the price” during the current capital season.
“Analysis of hash ribbon and current market dynamics indicates that despite the challenges faced after mining, the Bitcoin market remains strong. Continued demand is a positive indicator of market strength and stability, which highlights that the current price stability is supported only by mining activity,” said Crypto Mevismi. concluded.
“This period shows that the market is capable of maintaining a strong base even in times of crisis, indicating a strong and healthy Bitcoin ecosystem.”
Hash Ribbons' last cap hit came in August 2023, when BTC/USD dropped to $25,000.
BTC wallet numbers wipe out the bear market
Recent weeks have seen a lot of Bitcoin whale behavior, abandoning short-term price narratives for durable stocks.
This has led to speculation that large-scale traders will be expecting the BTC price to rise sharply again, offering easy profits in the coming weeks and months.
Meanwhile, smaller wallets are experiencing a renaissance of their own.
The latest data from research firm Sentiment shows that the number of wallets with 10 BTC or more is 16.16 million – the highest since June 2022. This reflects 82% of the BTC supply.
“A lot has changed since then, including a +226% increase in Bitcoin's market cap,” X wrote in a June 17 post.
Sentiment The fall of the FTX exchange in late 2022 fueled the Bitcoin bear market capitalization and triggered a bullish reversal in early 2023.
Many FTX in 2010 They believe that it will successfully suppress cryptocurrency prices in the 2nd half of 2022.
But since the exchange collapsed in 2010, By November 2022, there is an undeniable similarity between 10+ BTC wallet holdings and the total market value of the coin.
Bitcoin ETF coins provide a “strong support indicator”.
Whales are in a general hoddling trend in 2024.
Related: If Bitcoin Clears $68,000, ETH, TONE, UNI, and XMR May Rally.
Coins bought before the US spot's launch of Bitcoin exchange-traded funds (ETFs) in January have been dormant since then.
As noted by CryptoQuant contributor Mignolet, this practice has made owners long-term owners rather than mere speculators.
“Prior to ETF approval, holders sold their Bitcoin (blue box). “However, in the green box, short-term holders who accumulated during the consolidation have transitioned to 3-6 month long holders and are steadily accumulating unsold (green box),” explained a Quicktake post from the weekend. .
“Since most of these holdings are whales, this can be used as a strong indicator of support.”
As Cointelegraph continues to report, Bitcoin's short-term holders — those who hold a limited amount of BTC for up to 155 days — represent a key support trend during the current bull market.
The total cost base is currently over $62,000.
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
