Bitcoin: Stacking Stakes in Your Portfolio? Expect this in the coming months
Over the past few months, the crypto market has witnessed a severe fall, marking the lowest of the year in mid-June. The king of all cryptos Bitcoin also could not avoid the effects of the crash and hit the 2022 low of $17,700 on June 20.
However, since the last negative growth, BTC has gained an uptrend and it has been on a steady update to regain its value; recently crossed the $24,000 mark.
Notably, at the time of writing, BTC was trading slightly lower at $23,958 with a market cap of $458,062,265,258.
What’s up
In June, BTC hovered near the psychological level of $19,000 for a few weeks, and then an uptrend began. Along with the increase in price, an increase in BTC’s percentage in profit was noted as the metric hit a 3-month high of 62.03% on August 12th.
Source: Glassnode
Previous data pointed out that the percentage access in surplus never went below 65% in the last two years until January 2022 when it reached 64%.
Then it rose for a while and refused to mark the lowest level in two years. Interestingly, as percentage supply in excess is inversely related to total supply in loss, the latter marked its 3-month low of 7.123 million.
Source: Glassnode
Aside from percentage supply gains, the lightning network, which is an off-chain network that can be used to send or receive Bitcoin, also marked its all-time high.
At the time of writing, the maximum capacity of the Lightning Network was 4560 BTC. According to Glassnode’s data, a significant increase in the network’s total capacity was recorded despite the crypto winter.
Source: Glassnode
The back side
All the aforementioned developments give an indication that BTC’s performance in recent months has been better than the first quarter of 2022.
As always, opinions differ in this dynamic crypto industry. Peter Schiff, chairman of SchiffGold and managing director of Euro Pacific Capital, recently predicted that forced selling could yet see the price of Bitcoin go as low as $10,000.
Furthermore, he stated that not only Bitcoin, but also several other crypto companies will go out of business in the near future.
The bottom line
While looking at BTC’s chart, the biggest crypto in the world showed support and resistance at $19,000 and $22,200 respectively.
However, over the past few weeks, BTC managed to turn its resistance into its new support and surged further to cross the $24,000 mark, giving hope for brighter days ahead.
Source: TradingView
Bollinger Bands suggest that after being in a highly volatile zone, the price of BTC may soon experience a crisis, indicating a breakout in either direction.
Although BTC has achieved a number of milestones in recent months, the same forward trend cannot be guaranteed. As mentioned by Peter Schiff, data shown by CMF suggests that bears had a slight advantage in the market.
