Should we see the current state of Bitcoin (BTC) as an accumulation period?
The cryptocurrency market is recovering somewhat after a fall that lasted a few days. Currently, some of the top 10 currencies are in the green zone, while the biggest winner is Bitcoin SV (BSV), whose rate has increased by 4% in the last 24 hours.
The overall market decline has affected altcoins more than Bitcoin (BTC). The market share of the main cryptocurrency increased by a small percentage, with the current index totaling 63.8%.
The relevant data for Bitcoin are below.
Market cap: $ 99 120604133
Price: $ 5,303.28
Volume (24h): US $ 49282804836
Change (24h): – 2.36%
BTC / USD: Has the cumulative period started?
After falling to almost $ 3,500, Bitcoin (BTC) continues to trade sideways between $ 5,000 and $ 5,800. However, its losses last week were significant, as the currency fell 40%.
On the daily chart, we can see the current situation as an accumulation before the next growth. It is too early to think that the fund has passed. However, Bitcoin (BTC) is oversold.
In that case, the closest resistance that the main cryptocurrency by market value can encounter is in the area of $ 7,000 to $ 7,100. In addition, there is high liquidity in this price range.
On the weekly chart, it is crucial to pay attention to the 200-day moving average. If Bitcoin (BTC) closes below it in the current week, we can expect a bearish period of a few months. Otherwise, traders can expect a sideways trend between $ 6,000 and $ 7,000 soon. It is important to consider that growth is possible only through an accumulation phase.