On June 7, Bitcoin (BTC) quickly recovered its month-to-date losses as volatility returned to benefit the bulls.
BTC price cancels Binance, Coinbase dip
Data from Cointelegraph Markets Pro and TradingView revealed that BTC/USD had reached $27,388 on Bitstamp, nearly matching the June peak.
The rebound that had started the day prior continued, with markets disregarding the initial unease caused by the United States Securities and Exchange Commission’s (SEC) legal action against Binance and Coinbase.
By doing this, Bitcoin regained all of the ground it had lost, reverting back to its earlier trading range near $27,000.
Michaël van de Poppe, founder and CEO of trading firm Eight, commented that Bitcoin had made a great bounce from the 200-Week MA, returning to $27K, and that it was time to begin a new uptrend to $38-42K.
Van de Poppe mentioned the 200-week moving average (MA), a key support level which was briefly breached at $26,400, but quickly recovered.
A tweet previously made declared the BTC price correction to be “finished”, echoing the opinion of other prominent traders.
Rekt Capital, a trader and analyst, confirmed that Bitcoin has tested the 200-week Moving Average as a source of support.
Rekt Capital had previously cautioned that if the 200-week MA were to be lost, a decline to $20,000 would follow.
The DecenTrader trading suite was able to find grounds for optimism based on the analysis of the bounce and the behaviour of exchange traders.
Analysts commented that the return below $27,000 was impeding the growth of long positions in the market.
The experts noted that “usually there is a slight decrease until the situation is settled.”
Monitoring Material Indicators of resources while simultaneously tracking liquidity changes on the Binance order book, the situation was described as a “stairway to heaven” as the conditions got better.
It identified $27,400 as a crucial barrier to overcome, which had not been achieved as of the time of writing.
Hayes: Bitcoin has scaled “wall of worry”
Arthur Hayes, the former CEO of derivatives exchange BitMEX, remained unwavering in his conviction that the price of BTC would improve.
Bitcoin traders are gambling on the possibility of BTC reaching $24,000 as the market evaluates the SEC’s case against Binance.
Hayes urged hodlers to be patient and await the full resurgence of the Bitcoin bull market in ongoing social media reactions.
He expressed enthusiasm about the rebound by saying, “Let’s get on the $BTC bull market bus and climb the wall of worry together!”
The day before, Hayes had warned about the “FUD” surrounding Binance, asserting that risk assets were reacting to larger macroeconomic issues, which would ultimately be solved.
Do the rewards of using crypto as collateral for home loans outweigh the risks?
Subscribe to our email newsletter to get the latest posts delivered right to your email.