Has Bitcoin (BTC), Which Has Recorded Low Transaction Volumes, Entered a Short-Term Consolidation Period?


The leading cryptocurrency, which reached an all-time high by rising to $66,900 price levels on October 20 Bitcoin, it lost some momentum with the downward price movements it recorded from its peak levels. BTC, which has again declined to the 60.000 dollar levels, entered a short-term consolidation period by recording low transaction volumes.

Profit Realizations and the Decreasing Amount of BTC on Exchanges

Many analysts on the subject said that these recent declines were triggered by profit realizations of long-term investors, and such correction movements may be positive in order to record a healthier upward movement.

Analytics firm Glassnode reports that Bitcoin transaction volume (7d MA: 7-day moving average) is at a 1-month low of $128,266,846 BTChe announced that he had reached the. In addition, Glassnode touched upon the amounts of Bitcoin on the exchanges:

“The amount of Bitcoin held on exchanges continued to fall this week. Balances have fallen to 2,474 million BTC, returning to levels last seen in August 2018. Since February 2020, the average exit rate has been 30,085 BTC per month.”

Many expert names on the decreasing amount of BTC on stock exchanges have expressed that transferring the asset to various wallets for long-term holding means that this asset will most likely not be sold in a short time, and this is a positive signal on behalf of the bullish period.

Consolidation at $60,000 Levels

In recent days, with low trading volumes 58.000-Bitcoin crypto currency price levels between $ 63.000 jammed leading to short-term appear to have entered a consolidation period, while long-term giving the appearance of a bullish technical signal remains. After a short period of consolidation Bitcointhe resistance, which is located at the 63.000 dollar levels in the immediate vicinity, is met. The breaking of the 63.000 dollar levels as an exit from consolidation is important for the leading crypto asset.

At the time of writing, Bitcoin is trading at $61,000 price levels with a market capitalization of $1.15 trillion according to CoinMarketCap data.

The information contained in this article absolutely does not contain investment advice. Investors should know that crypto currencies have high volatility, so they carry risks, and they should conduct their transactions in accordance with their own research.

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