Bitcoin (btc) rose above $42,000 again on December 5, as the analysis remained suspicious of market manipulation.
Analysis: New Bitcoin Offerings Are Not "Organic"
Data of Markets Cointelegraph Pro and TradingView showed a BTC price bounce that took BTC/USD to highs of $42,498 on Bitstamp.
These defeated the 19 month peak set the previous day, and the pullbacks were short-lived amid a general atmosphere of excitement across the cryptocurrency world.
However, as Bitcoin continued to regain lost ground in mid-2022, warnings about the sustainability of the rally continued to come. These focused on the behavior of high-volume traders, also known as whales.
in a dedicated thread Regarding the phenomenon on minimum.
The more liquidity available near the intended sale point, the better value a major sell-off would bring.
“We saw the exact game played during the week with a $50 million to $35 thousand buy wall, and it often works. “We now have $50 million stacked at $38.5 mil,” Material Indicators noted, calling the current order book action a “strategically choreographed distribution game.”
The analysis reasoned that a return to $38,500 was unlikely, but that new supply liquidity blocks, including one at $41,500, were not "organic."
That said, continued growth could easily become the norm over the next year as sense of anticipation on macroeconomic changes and the United States' approval of its first Bitcoin spot price exchange-traded fund (ETF) sets the tone.
“With BTC liquidity moving strategically around the playing board, we are likely to see this rally extend,” Material Indicators predicted.
"Optimism around December's FED rate decision and January's ETF decision may push things higher and fuel euphoria, so get ready for what comes next."
$48,000 forms next optimistic BTC price target
Other market commentators noted similarly bullish short-term BTC price signals.
Related: Short-Term Bitcoin Holder Sales Near $5 Billion as Profit-Taking Mimics 2021
Popular trader Daan Crypto Trades noted a decline in open interest during the consolidation phase, which preceded the opening of the day on Wall Street.
#Bitcoin Consolidation as open interest is also declining.
Probably some longs taking profits up here.
There is a decent sized wall below the ~$41K price that is holding it right now. pic.twitter.com/OunDBN6EPa
- Daan Crypto Trades (@DaanCrypto) December 5, 2023
Meanwhile, for trader, analyst and podcast host Scott Melker, the four-hour chart says it all.
“Bitcoin consistently outperforms 'bearish' ascending patterns in a bull market. And this is currently being retested as support,” part of his X comment in an accompanying chart.
Zooming out even further, the popular social media commentator known as Mustache saw no reason for the current bull market to diverge from previous ones in terms of BTC price patterns.
“$48,000 is inevitable. If this breaks, I even see ~$60,000 for Bitcoin in the near future,” he said. argument along with a chart showing price phases divided into waves.
“In the past, BTC has always returned to wave (B). Why should it be different this time?
This article does not contain investment advice or recommendations. Every investment and trading move involves risks, and readers should conduct their own research when making a decision.
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