- BTC/USD retested the lowest level of 2019 despite growing transactions volume.
- A sustainable move above $3,600 is needed.
Bitcoin is hovering marginally above $3,500 at the time of writing. The digital coin No.1 has lost nearly 4% since this time on Sunday, resuming the decline that started on the second week of January. The market seems to see the glass half-empty, paying attention only to negative news.
Meanwhile, the researchers note that Bitcoin's average daily transactions volume returned to the levels registered in October 2017 (a short reminder: that was the period of a strong rally on the cryptocurrency market).
"Bitcoin daily on-chain transactions grew 63% in the last ten months. Volumes are now the same as we had during the 2017 bull run, a Twitter user ArminVanBitcoin notes.
While the share of SegWit transactions has not changed in recent six months, LighteningNetwork activity has been gathering pace.
This makes the experts believe that the market has bottomed out and the bull run is about to start in the nearest future.
Bitcoin’s technical picture
Looking technically, BTC/USD retested the lowest level of 2019 at $3,480 before the recovery pushed it back above $3,500. It is worth noting, that the upside momentum has faded away, which means that the sell-off may be resumed later during the day. If the above said $3,480 is broken, the price might slide towards $3,400, which is guarded by 23.6% Fibo retracement level, monthly.
On the upside a sustainable move above $3,600 is needed to mitigate the immediate bearish pressure.
BTC/USD, 4-hour chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.