Will Bitcoin at $62,000 increase its buying pressure?
Buying pressure for Bitcoin has increased. This could positively impact the price of the king coin.
Bitcoin is steadily crawling back toward $62,000.
- In the event of a correction, the cryptocurrency could drop to $54,000.
Bitcoin has recently been on the right track, gradually moving back towards $62,000. In fact, buying pressure on the king coin has also increased, which could contribute to a bullish rally for the coin in the coming days.
Bitcoin Moves Toward $62,000
Although price volatility for the king coin has remained low in recent days, it has quietly approached the resistance level of $62,000. Specifically, Bitcoin’s price rose by 1.6% in the last 24 hours, trading at $61,992.73 at the time of writing.
Meanwhile, Ali, a popular cryptocurrency analyst, shared a tweet revealing an interesting development. According to this, the buy/sell ratio for Bitcoin on OKX has increased, indicating a rise in aggressive buying— a sign of potential upward movement in the future! Therefore, AMBCrypto took a deeper look to gather more insights on market sentiment surrounding Bitcoin and how it might impact the coin’s price in the coming days or weeks.
Is BTC Ready for a Rally?
AMBCrypto’s analysis of CryptoQuant data showed that net BTC deposits on exchanges are lower compared to the seven-day average. This clearly indicates that buying pressure on the coin is rising.
Bitcoin’s premium in Korea also revealed that investors there are looking to buy the coin. Whenever buying pressure increases, it raises the chances of a price increase.
However, not everything was working in favor of the king coin. For instance, the Coinbase Premium BTC turned red at the time of writing. Such incidents suggest that the buying sentiment among American investors is relatively weak.
AMBCrypto then examined the daily chart of the coin to better understand what to expect.
AMBCrypto found that Bitcoin is on the verge of testing its 20-day simple moving average (SMA). A breakout above it could push the coin toward the $65,000 resistance.
However, as previously reported, Bitcoin had strong support around $60,365. A drop below that could be disastrous for investors. It seemed to be the case, as a slip below this level could bring the coin back down to its support level of $54,000.
Conversely, if Bitcoin can move toward its resistance and successfully break above it, it wouldn’t be surprising to see the coin test its all-time high again. In an ideal scenario, Bitcoin might reach a new ATH in the coming weeks.
