As of August 30, 2024, Bitcoin is trading at $58,893.97, showing a 0.86% drop over the last 24 hours. The market cap stands at $1.17 trillion, firmly securing Bitcoin's position as the top crypto. The 24-hour trading volume has also seen a drop of 12.76%, reaching $32.5 billion.
In a huge move, Ark Invest has sold off $100 million worth of Bitcoin, causing ripples in the crypto market. Despite this significant divestment, the firm still holds approximately $2.6 billion in Bitcoin.
The sale coincided with a dip in Bitcoin's price which fell to $57K on the Bitstamp exchange. Analysts linked this decline to a broader downturn in US equities. The increasing correlation between Bitcoin and the S&P 500 suggests that cryptos are being traded alongside traditional stocks, indicating a maturing market environment.
Adding to the market turbulence, a massive outflow of 44,808 BTC, valued at over $2.6 billion was withdrawn from Binance recently. This withdrawal followed allegations that Binance had seized Palestinian assets at the request of Israeli authorities, though the accounts were quickly unfrozen amid backlash.
Bitcoin's price action is currently forming a bullish flag pattern, with the next higher timeframe target at the flag's resistance around $68K. A breakout and close above this level would confirm bullish momentum and potentially trigger a massive rally.
On the lower timeframe, Bitcoin has found support at the $58,000 level, which also serves as a retest of a broken-out mini-bullish flag within the main pattern. The next target is the $61,500 resistance zone, where Bitcoin encountered a sell-off three days ago.
A break and close above $61,500 could lead to a push toward the recent high of $65,500 before testing the main flag resistance at $68K.
Key metrics from IntoTheBlock show that 81% of holders are currently in profit at the current price while 13% are at a loss and 6% are breaking even. The concentration of large holders stands at 12% indicating a relatively distributed ownership structure.
The daily RSI is currently at 44, away from the neutral territory, showing the bearish momentum that has been there. The MACD has also shifted bearish, with the bearish crossover slowly forming potentially indicating short-term bearish momentum.
The current market structure suggests that a breakout from this consolidation phase could lead to massive gains for Bitcoin and altcoins alike, with some analysts projecting Bitcoin to reach $100K or higher.