BTC price split ‘unprecedented’ — 5 things to know in Bitcoin this week

Bitcoin heads into June as an early push brings key resistance back into play.

Bitcoin (BTC) price momentum is targeting $69,000 as TradFi markets return to position – will there be a breakout this week?

This is the main question for the participants of the Bitcoin market, and in recent weeks it has presented different opinions.

Arguing that BTC/USD is in a near three-month range, it is too late to continue higher.

The next few days could give bulls the fuel they need to get the job done, with the U.S. unemployment figure — a recent indicator of risk-asset volatility — due at the end of the week.

Meanwhile, on-chain indicators are lining up to call for a bullish return on Bitcoin, while behind the scenes the network's fundamentals are pushing back to their all-time highs.

As price and sentiment slowly recover lost ground, Cointelegraph examines the main issues facing Bitcoin traders as June begins.

$69,000 constitutes the “important price” of the week

After some volatility over the weekend, BTC/USD has finally come full circle in its weekly close, according to data from Cointelegraph Markets Pro and TradingView.

Not long after the June 3 candlestick had just opened, Bitcoin bulls had set the tone for the Asian trading session – higher.

Currently above $69,000 at the time of writing, BTC's price action continues to pick battles in that area, as traders see the need to break into strong support.

“TLDR; The market needs to receive and hold above $69k (new ATHs) so now we'll see how things develop into Monday, wrote popular trader Skew in his latest analysis on X.

“If given later, early week dips will be my focus for opportunities.”

Skew raised the asking price to more than $70,000, with most bids still below $66,000, citing $69,000 as a “potential value this week.”

“Current spot demand is still around $66k-$65k, with the current market bidding he would like to see some spot bids as high as $67k,” he summarized.

Monitoring source data showed continued attempts to keep CoinGlass price within its current range.

Over the weekend, Cointelegraph reported on on-chain metrics reiterating key breakout patterns from earlier in 2024.

Popular trader and analyst TechDev added to the sentiment by showing a chart showing the highest five-day squeeze in eight years. Before that, it revealed a Bollinger Band breakout in the US M1 money supply that has not been there since 2017.

Unemployment data is a week ahead of the FOMC.

A quiet start to the week in terms of macroeconomic data does not mean a complete absence of volatility in risk assets.

The first US jobless claims will come on June 6, the next day will see more unemployment numbers.

As Cointelegraph continues to report, Bitcoin and crypto markets are especially sensitive to employment data that will miss expectations in 2024.

The implication of incredibly high unemployment is that the tight financial conditions set by the Federal Reserve are making themselves felt in the economy. Therefore, the risk of injury may increase.

Clarity should come later this month when the Federal Open Market Committee, or FOMC, meets to discuss interest rate changes.

“This is the last employment data before the June Fed meeting,” business resource Kobeissi's letter said in part in X's comment on the topic.

The latest data from the CME Group's FedWatch Tool is bearish among markets — with no chance of a slowdown until September or later.

“Even if the Fed could cut rates this year, the central bank looks set to keep rates on hold for a longer period of time,” trading firm Mosaic Asset wrote in its regular newsletter on June 2. .

But the decline in the chances of a recession is “not a bad thing for the stock market,” he added.

The price of BTC will be set to break out of the “Long Consolidation”.

Bitcoin and the global currency are a match, which for bulls, is made in heaven – and the latest chart data says it all.

Currently circulating on social media is the “extreme” comparison between BTC/USD and USM1 cash supply.

The M1 supply refers to the sum of cash, demand deposits, and checks in the U.S. economy. Over the years, Bitcoin has shown key volatility in M1, and in 2018 From June 2024 to June 2024, the big time seems to be repeating itself on him.

Prominent trader and analyst TechDev commented on June 1 when he posted a comparison to the X, calling it “helpful.”

“Bitcoin only shows up after it hits the M1 money supply. And the longer it consolidates, the longer this crash follows the longest consolidation ever.”

The chart shows that the explosive phase will, in fact, begin in 2023, but by historical standards, its presence is not yet felt.

The situation has actually been on record for seven years – with the implication that the early breakup must be exceptionally dynamic to match.

TechDev continues, “In fact, this represents the culmination of a 5-year extensive Wedge textbook.”

“In the last 5 years there has been a correction on the M1. $BTC has rebounded against it for the first time since 2017. We have never seen a Bitcoin crash like this.

The incident was not lost on the business community, figures including veteran businessman Peter Brandt noted.

Well-known analyst Walepanda said in 2021, “The year

During the crash of 2017, BTC/USD sustained parabolic support for the next nine months.

Difficulty arises when miners reduce the exposure of BTC

Bitcoin network fundamentals are slowly pulling back after a quick cooling off in early May's bearish price action.

The latest data from monitoring source BTC.com predicts a roughly 1.7% increase in difficulty on June 6.

This builds on the 1.5% jump from two weeks ago, helping to reduce the 5.6% decline from the peak that came before the crisis.

According to raw data from Mining Pool Stats, the hash rate of the aggregate processing power allocated to the network after peaking in April.

According to on-chain analytics firm Glassnode, however, miners themselves face difficulties.

More than a month after the April block subsidy was halved, miners' net BTC holdings are falling on a 30-day basis – a trend that is accelerating.

As of June 2, the last day for which data is available, mining accounts were 2,500 BTC lower than 30 days ago.

Compared to the effort to finish halfway, the decline is not as steep. In the year Beginning in November 2023, miners began selling BTC in a flurry of activity that was common throughout Q1, Glassnode shows.

Kraken sees a massive 48,000 BTC withdrawal

A general trend of declining BTC balances on crypto exchanges, one in particular was highlighted this weekend.

RELATED: Bitcoin Had Its Best May Since 2019 Despite ‘Hunter' 3% BTC Price Drop

Glassnode confirms that withdrawals on the popular trading platform will be close to 50,000 BTC ($3.44 billion) between May 30 and May 31.

The May 30 figure alone is the second largest in BTC terms of any exchange since the end of the 2022 Bitcoin bear market. For the Kraken, it was one of the largest on record.

The moves were not lost on market observers, with Vivek Vivek Sen, founder of PR firm BitGrow, describing them as “wild”.

“Supply shock is coming, ATH is imminent,” he wrote in one more X post after the second day's flow hit.

Kashif Raza, founder of educational platform Bitinning, has observed Kraken releasing coins to external wallets in several transactions.

According to Cointelegraph, exchanges have been seeing strong demand for BTC for years, with total balances now at levels not seen since 2017.

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.