Bitcoin surpasses $66K, overcoming major resistance levels and indicating strong market confidence and the potential for a new all-time high.
Bitcoin recently surpassed a significant resistance level at $66,000, marking a notable milestone in its price journey. According to data shared by IntoTheBlock on X, the premier cryptocurrency demonstrated resilience by overcoming substantial on-chain resistance levels.Â
This move has sparked discussions about the potential of Bitcoin to reach substantial price levels, particularly a new all-time high (ATH), according to IntoTheBlock.
Bitcoin overcame some massive on-chain resistance levels with its move past $66k.
The lack of selling during this move up shows the market's confidence in $BTC. Is a new ATH coming next? pic.twitter.com/0IvJz5uxfR
— IntoTheBlock (@intotheblock) May 16, 2024
Bitcoin Price Distribution
A snapshot shared by IntoTheBlock shows a high volume of addresses in profit within the range of $56,115.72 to $66,048.34. This volume indicates strong market confidence and support, as these holders are likely to retain their positions rather than sell at a loss. Particularly, the range from $64,090.82 to $66,048.34 shows numerous addresses holding profit, suggesting a strong support level just below the current price.
Conversely, resistance levels are identified in the ranges of $67,353.36 to $72,500.92. These addresses, currently at a loss, may sell to break even as the price rises, creating potential selling pressure. This range includes addresses that bought at higher prices and are now out of the money, marking a possible resistance point.Â
The volume of addresses in the $69,890.89 to $72,500.92 range presents a stronger resistance level. As Bitcoin approaches these levels, the market may experience increased selling pressure from holders seeking to recoup their investments.
Market Confidence and Post-Halving Analysis
The transaction volume of $70.26 billion for transactions over $100,000 in the past week points to steady market activity, often driven by institutional investors. Moreover, exchange flows reveal higher outflows ($7.31 billion) compared to inflows ($7.02 billion), suggesting that more Bitcoin is being moved to storage, a bullish indicator.
With balanced global transaction demographics and positive exchange signals, the overall sentiment is largely bullish, though mixed on-chain signals indicate some areas of caution.
Recent analysis from The Crypto Basic highlights Bitcoin’s exit from its post-halving “danger zone,” with predictions of decreased volatility and a stable growth path through 2024. Rekt Capital’s analysis suggested an end to the precarious phase following the Bitcoin halving, pointing to a period of price stabilization and potential growth.
Historical data from 2016 show similar patterns in price movements, with a volume spike of approximately 603,000 BTC coinciding with notable price actions. This included a critical drop of 17.87% around July 11, 2016, followed by a recovery phase leading to a parabolic increase in Bitcoin’s price.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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