Bitcoin sees the best weekly gains in 3 months as the BTC price falls below $ 21K
Bitcoin (BTC) reached a three-day low to the weekly July 10, when $ 21,000 yielded as short-term support.
Trader sees bullish divergences across markets
Data from Cointelegraph Markets Pro and TradingView showed that BTC / USD gave up some of its gains from earlier in the week, while still looking to limit the best weekly gains since March.
The pair circled $ 20,850 at the time of writing, around $ 1,600 below the week’s high at the 200-week moving average.
Despite the fact that the outbreak did not continue, Bitcoin gave some commentators reason for cautious optimism ahead of the start of the new week.
“Markets show higher timeframe bullish divergences, and sentiment is the same as in a funeral,” Cointelegraph contributor Michaël van de Poppe summarized.
“A recipe for a reversal is there, and it can accelerate quite quickly. Invest when no one is interested. Sell when everyone is interested. “
The popular trader Crypto Tony, meanwhile, entertained the idea of a new sideways phase that would enter before a deeper fall, something he envisioned “would drive everyone crazy.”
$ BTC / USD USD – Playing with ideas
If we begin to reject harder and fail to regain range high, we may begin to see some such form up. Would have done everyone crazy I can imagine pic.twitter.com/wwoa8vjMRv
– Crypto Tony (@CryptoTony__) July 10, 2022
Macro conditions remained uncertain, with upheavals in Sri Lanka contributing to a sense of nervousness evoked by the common global theme of energy, food and the financial crisis.
All this crazy shit going on in the world, I just can not see how anyone can be macro bullish
we need new buyers and retail, without it there is no continuation … just chop
all pumps are an opportunity to quit and buy lower$ BTC pic.twitter.com/npAKi1L8uw
– Ninja (@Ninjascalp) July 10, 2022
Attention focused on the US Dollar Index (DXY), which had ended the week back on support after rising to new heights not seen in twenty years.
The risk reserve reaches its lowest level ever
Those who are looking for a golden buying opportunity on BTC meanwhile received a new key signal from the Reserve Risk indicator.
Related: Bitcoin ‘cheap’ at $ 20K as BTC price to wallet ratio mimics 2013
As noticed by commentator Murad over the weekend, Reserve Risk, which shows long-term ownership sentiment, reached its lowest levels ever at July prices.
“Either this indicator is broken, or we are in the bottom zone for a high time frame,” he said in parts of Twitter comments along with data from the chain analysis company Glassnode.
Reserve Risk, as Cointelegraph reportedhas rediscovered its green “buy” zone since March, this corresponds to optimal opportunities to invest with “oversized returns” as a result.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trade involves risk, you should conduct your own research when making a decision.
