- Bitcoin trading volume creeps towards year low amid rising stability backed by low daily trading activity.
- Bitcoin dominance is at 54% as the price drops below $6,400.
In the last days, the 24-hour trading volume for Bitcoin has taken a plunge considerably from $5 billion to the current $3.7 billion. The volume is steadily decreasing and heading towards the yearly low. The dropping volume for BTC is becoming a concern for the short-term market. Besides, for about three months now, Bitcoin has shown incredible levels of stability backed by low trading activity on a daily basis. In the same period, the total market capitalization has declined by $6 billion while Bitcoin dominance is at 54.0%.
Meanwhile, Bitcoin has broken below the range support at $6,400, discussed in yesterday’s price analysis. The lull seems to have come to a halt, although neither the bulls or the traders no what is next for the largest cryptocurrency by market capitalization. Applying various indicators on the chart shows that Bitcoin will continue trimming the gains gradually.
The RSI, for instance, is heading into the oversold region while the MACD which has been ranging above the mean level since the surge on Monday has slipped into the negative region. Moreover, the moving average gap is widening to show that it is the bears' turn, for now.
Bitcoin is trading at $6,361 after it broken the $6,400 support in the evening (GMT) session on Thursday. It has traded highs of $6,409.39 and lows of $6,359.64 on the day. A correction is required soon to ensure that Bitcoin does not continue exploring the levels towards the next significant support at $6,200. In the event declines proceed, the buyers will battle to defend the support at $6,000 as they did last week.
A crypto investor, Roy Blackstone shared his views on the status of Bitcoin and emphasized that the asset must start to gain strength especially when it comes to the daily trading volume. He said that the trend, the momentum as well as trading activity must get a boost for the entire market to get a chance to remain afloat. Blackstone stated:
“It’s not alt season until: ‘long term investors’ sell at breakeven, media hype machine starts, your best friend is getting rich off crypto, alt pumps across the board on exchanges like polo, bitcoin starts to show real strength.”
BTC/USD 60' chart
Get 24/7 Crypto updates in our social media channels: Give us a follow at @FXSCrypto and our FXStreet Crypto Trading Telegram channel
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Ethereum attempts recovery following first rate cut in four years
Ethereum is trading above $2,330 on Wednesday as the market is recovering following the Federal Reserve's decision to cut interest rates by 50 basis points. Meanwhile, Ethereum exchange-traded funds recorded $15.1 million in outflows.
Bitcoin offers diversity for traditional investors: BlackRock
Bitcoin (BTC) is trading above $60,000 on Wednesday following the release of BlackRock's latest white paper, which addresses some of the top crypto assets' unique advantages to investors compared to traditional asset classes.
XRP pulls back 4% even as Ripple releases details of stablecoin RLUSD
Ripple (XRP) shared details of its stablecoin project Ripple USD (RUSD) in a blog published on Tuesday. The cross-border payment remittance firm discusses relevant legislation and plans to support the digital asset economy through RLUSD.
Bitcoin traders keep powder dry ahead of Fed decision on interest rates
Bitcoin retraces slightly, trading above $59,000 on Wednesday, as crypto markets brace for the upcoming interest-rate decision by the US Federal Reserve, which is expected to lower interest rates for the first time in more than four years.
Bitcoin: On the road to $60,000
Bitcoin price retested and bounced off from the daily support level of $56,000 this week. US spot Bitcoin ETFs posted $140.7 million in inflows until Thursday and on-chain data supports a bullish outlook.
Moneta Markets review 2024: All you need to know
VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.