Bitcoin price made a gloomy start this week at it corrected by 26.5% in just over 32-hours. However, the bulls are back in charge as they push the BTC price against the US Dollar above the US$37,000 level this Thursday. The short-term bullish bias of the traders has been renewed after the largest cryptocurrency fell from the near US$42,000 level to near US$30,000 level. As the fall of the BTC/USD pair found a strong support near the US$30,200 level, the buying opportunities at this low level rose higher.
A sharp retracement of the BTC/USD pair against the downside outlook leveled. A Head and Shoulder bearish pattern on the charts caused this to happen. This instilled hopes among analysts and traders of a broader upward movement towards US$40,000.
CryptoQuant, a blockchain analytics platform tracking Bitcoin’s price movements across the crypto exchanges, highlighted two of the most brighter market outlooks. Its CEO Ki-Young Ju said that institutional investors purchased heavily at around US$30,000 and US$32,000 levels on Wednesday. This lead to reverse the short-term dumping sentiment of the retail traders.
He went on to say: “Speculative guess, but if these guys are behind this bull-run, they’ll protect the 30k level. Even if we have a dip, it won’t go down below 28k.”
Alex Saunders, CEO and co-founder of Nuggets News AU, said that another chart of CryptQuant showed that there is an increase in the deposits of the stablecoins across all the cryptocurrency exchanges. This is great news for speculators because the inflow of US-Dollar-pegged stablecoins into trading platforms equates to a robust behavior of the buyers.