BTC Price To Retest $72K As Bitcoin Sets $7B Liquidity Show
Bitcoin saw a “drag-o-war” at the July 24 Wall Street open among prominent analyst exchanges.
Bitcoin “rebound” awaits key support.
Data from Cointelegraph Markets Pro and TradingView showed Bitcoin (BTC) price action targeting $67,000, up 1% on the day.
A move lower than some had predicted, however, remained key support at both $65,000 and the short-term holder at $65,110.
The latter level, as tracked by onchain analytics platform Glassnode, represents the overall cost of Bitcoin speculation and recently returned as support after a short hiatus.
“Bitcoin has successfully returned to the key breakout position,” noted trader Jelle in one of his latest posts covering the four-hour chart for his X followers.
“With the domestic market structure tight, it looks like the market wants to give $72,000 another challenge.”
Jelle added that data from onchain monitoring source CoinGlass put the potential short BTC liquidity in that area at around $7 billion.
As short-term frames narrowed Bitcoin's trading corridor, attention shifted to the longer-term picture.
“Bitcoin has now strengthened for 141 days in the previous cycle,” said Dan CryptoTrades, another prominent trader on X.
“This is the longest it has taken to fully surpass previous highs. On the other hand, $BTC reached highs before halving this cycle.”
Exchange BTC balances
Weighing bullish and bearish market conditions, meanwhile, Willy Woo, creator of onchain statistics platform Woobull, has identified two hurdles for Bitcoin to overcome next.
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These include payments to the outstanding exchange Mount Gox lenders, I'm still in progress, and the accompanying return of the exchange's coins.
“Regarding bearish signals, we are seeing an accumulation of coins entering the exchange,” he wrote in part on the X thread on July 23rd.
“Of note, 50,000 BTC were sent from MtGox to Kraken, and that seems to be showing up when others are sending their coins.”
Woo suggested that the launch of US Spot Ether (ETH) exchange-traded funds (ETFs) could take capital out of Bitcoin.
“Some of the capital in the BTC ETF may be diverted to the ETH ETF, how much is difficult to estimate, but this is a risk,” he argued.
According to Cointelegraph, the spot Ether ETFs saw $107 million in net inflows on the first day of trading — one-sixth of Bitcoin's first day in January.
“In summary, we have a pull going on in demand and supply. IMO the bullish factors outweigh the bearish factors,” Woo concluded.
“BTC only needs 73k to light the short squeeze to 77k in the short term. Nothing more to hold on to in search of value.”
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.
