Assembly of support for Bitcoin to $ 19,000 as market leader in a new week
Bitcoin has come out of the weekend with less than favorable performance, but it has not been bad for the digital resource either. After falling below $ 20,000, it had a low trend towards the end of last week. However, the cryptocurrency has been able to maintain the $ 19,000 level despite attempts by the bears to pull it down. This has been due to a number of factors, but most important of all is the support that has formed at this level.
Support for $ 19,000
After struggling to hold over $ 19,000 for most of last week, the digital resource had later found its footing over $ 19,000. This price point is important for bitcoin given that it was where the previous cycle peak took place. Although it had actually broken below this point several times this year already. But with the recovery over 19,000 once, the bulls seem to have found their place, and support at this level has grown.
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It is driven by bitcoin investors who take this as a signal to buy the digital asset for cheap. For the most part, whales have been the most active during this time, even in the midst of extremely low investor sentiment. These whales who buy tokens on the spot continue to fill their bags.
Data show that these wallets, which have more than 1,000 BTC in the balance, have added 140,000 BTC per month, which has brought their total holdings to 8.69 million BTC. This means that these bitcoin whales now have 45.6% of the total circulating supply.
BTC continues recovery trend | Source: BTCUSD on TradingView.com
Whales are not the only ones buying bitcoin. Smaller owners with less than 1 BTC have also increased their activities by buying at these prices. They have added their balances at a rate of 36,750 BTC per month, bringing their total holdings to 1.12 million BTC, or 0.2% of the circulating supply.
Will Bitcoin continue to hold?
As of Monday morning, bitcoin had begun another recovery trend that has set the price above $ 19,300. While not a significant improvement in any way, it has put the digital resource on a green start to the new week.
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Nevertheless, the digital resource continues to trade below key technical levels such as the 50-day film average. Because of this, the chances of bitcoin keeping the recovery trend throughout the rest of the week remain small, as there is not enough demand to compensate for the coins being dumped by sellers.
This means that while the price is likely to rise above $ 19,500, there may be another downtrend before the day is over. This will put the $ 19,000 assembly support to the test. But if bitcoin can continue to hold and the market sees a significant increase in demand, the next big resistance awaits the cryptocurrency at $ 20,500.
Featured image from FortuneBuilders, chart from TradingView.com
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