Bitcoin (BTC) bounced off $40,000 on Tuesday as attention returned to United States regulators.

Bitcoin

BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

$45,000 target emerges for bulls

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD circling $43,000 Tuesday ahead of fresh comments from Gary Gensler, chair of the Securities and Exchange Commission.

BTC price action steadied on the day after a fresh dip saw the first test of $40,000 support since Aug. 6.

While traders remained cautiously bullish on the outlook, the shadow of Evergrande, put off by a public holiday in China, still loomed large over sentiment.

“I am not too euphoric about this bounce,” popular trader Crypto Bullet summarized as part of his latest update.

“Surely it’s nice to see some strength by Bitcoin but over all it still looks bearish to me.”

He added that a $46,500 reclaim would be a deal-breaker to return to a bullish perspective, a requirement echoed elsewhere.

“Reclaiming 45k as support is bullish objective,” Filbfilb, an analyst at trading platform Decentrader, told subscribers of his Telegram channel on the day.

Meanwhile, Tuesday evening was scheduled to see Gensler, already in the spotlight over his comments on stablecoins, cement his position on cryptocurrency in an interview with The Washington Post.

Never mind the exchange reserves?

On the topic of China, analysts were adopting a longer-term approach, arguing that events such as the potential implosion of Evergrande were exactly the reason Bitcoin was created.

“Gentle reminder that BTC typically sells off in near term with global macro uncertainties...but the major issues brewing around the world right now are exactly what Bitcoin was built to protect us against,” fellow Decentrader analyst Philip Swift wrote this week.

Historical precedent buoyed the bull cause, with others noting that March 2020 delivered a springboard for new Bitcoin all-time highs after the initial collapse to $3,600.

As such, concerns such as exchange reserves rising on major exchange Binance were less of an issue.

“Yes, Binance’s BTC balance is increasing, suggesting selling from China. However, for context, this has been a several-week-long trend and overall exchange flows remain neutral over the last few days,” analyst William Clemente said as part of comments on the phenomenon.

Chart

Bitcoin exchange reserves comparative chart. Source: William Clemente/Twitter

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Decentraland price under pressure by market turmoil, MANA points to steep correction

Decentraland (MANA) has not been able to sit back and enjoy its all-time highs printed on Thursday, above $6.0. MANA price reversed to the downside as a wave of negative news surrounding a new Covid variant hit news wires during the Asian session.

More Cryptocurrencies News

Bitcoin, Ethereum, XRP at discount ahead of Black Friday while investors fear new COVID strain

Over $265 billion wiped off the overall crypto market capitalization in a bloodbath as news of the new Covid strain breaks out. Bitcoin, Ethereum and Ripple prices have tumbled over 6%, and the top 10 cryptocurrencies are trading at a steep discount.

More Bitcoin News

XRP holds key support while indicators point to short-term recovery

Ripple started a recovery wave above a key support level of $1.024. XRP price started an upside correction as indicators suggest a short-term recovery. The coin may initiate a fresh downtrend upon a breakout of the $1.024 support level.

More Ripple News

Dogecoin-killer Shiba Inu hits 1 million holders, gets listed on South Korean exchange

Shiba Inu hit an important milestone of 1 million holders with a rise in the number of investors. The memecoin listed on a South Korean crypto exchange successfully despite strict regulatory requirements. 

More Shiba Inu News

Black Friday 2021 Discounts!

Do you want to take your trading skills to the next level? Now you have a chance of leaping forward at attractive introductory rates. For Black Friday, FXStreet is offering discounts of up to 50% on its upgraded Premium plans. 

Subscribe now!

BTC

ETH

XRP