Stock markets are seeing a record breakout trend as the Bitcoin (BTC) price drops below $21,000. Meanwhile, some investors continue to buy, believing the decline.
$25,000 seen as a bull line in Bitcoin
Data from TradingView showed that when the last week of June began, Bitcoin followed the stock market crash. Bitcoin hit a three-day low after a stable weekend. After that, it deepened below $21,000. While traders lacked general bullish faith, further bearish prospects remained as $22,430 was still below the crucial 200-week moving average (WMA).
Popular Twitter analyst Michaël van de Poppe said in a Twitter discussion that day, “Bitcoin says NO to $21,000 support. No problem. Our levels are structured,” he said. In another post, he suggested that lower levels will entice traders to open a long position. Support was near $20,325 and $20,100. However, Bitcoin failed to maintain any of these levels. Now, the bears are targeting $19,000 in the overshoot.
Credible sheds light on what will happen after $25,000 for Bitcoin
Meanwhile, fellow trader and analyst Credible Crypto has updated their analysis of Bitcoin. Earlier this month, he revealed how Bitcoin will sustain the $17,600 bottom. In a video update, Credible noted:
If we manage to retrace $25,000, push it up to $30,000 ($28,29,30,000), I don’t think we’ll see any new lows at this point. So if we’re going to see new dips, I’d expect it to happen before claiming $25,000 back.
Bitcoin remained on track to close its first month below 200WMA on the day. It separated the current bear market among the previous ones.
Bitcoin withdraws from exchange wallets
Meanwhile, evidence continued to build that investors were buying the dip. Exchanges have seen massive dips in BTC supply in recent days, after whales made headlines for adding around $20,000 in Bitcoin.
According to on-chain analytics firm Glassnode, June 26 saw the largest cumulative change in BTC not held on exchanges. The 30-day average change in supply held on exchanges dropped by 153,849 BTC as funds moved elsewhere.
cryptocoin.com As we have also reported, miners are having a hard time during this time. Despite the minor recovery, miners have often started to capitulate, which is the last leg of the bear market. Also, according to Hash Ribbon, miner capitulation has already started since the 60-day MA crossed the 30-day MA. Bitfarms, one of the largest Bitcoin mining companies in the world, had to sell BTC under these conditions. The firm sold about 3,000 BTC worth $64 million in June to increase liquidity.
The similar situation repeated itself in August 2021, when the 30-day MA passed. Over the next three months, Bitcoin rallied and the ATH level reached $67.5k.
