- Bitcoin is currently trading in a safe zone
- Bitcoin needs to break over $11,850 hurdle to confirm its ongoing rally
- Sell-side liquidity to push the price of Bitcoin higher
Bitcoin News Today – The price of Bitcoin has been surging higher over the past three days, as the USD lost some traction after a relief rally. Bitcoin is currently changing hands around the $11,350 range, a price level that is far above the weekly lows of about $10,400. This recent rally started on Friday evening, and the price of Bitcoin surged to almost $11,500 – turning its previous hurdle to support.
However, analysts said that Bitcoin still has some vital hurdle points over the current price. According to one analysis, Bitcoin needs to confirm $11,850 as support in the near future to validate expectations of further upside moves.
Bitcoin (BTC) Price Today – BTC / USD
Bitcoin Need to Flip $11,850 Resistance to Support
Whale Map – a digital currency data company – recently reported that there is a vital on-chain hurdle for Bitcoin at $11,850, where whales acquired a huge number of unspent Bitcoin. The digital currency is currently sitting over the first key hurdle at $11,288 but faces this overhead hurdle.
For Bitcoin to confirm its ongoing trend, it needs to retest and reclaim both $11,288 and $11,857 in the coming days. If that happens, the price of the digital currency could surge over the summer highs set around $12,500 in the middle of august.
Bitcoin’s Price to Surge Higher Due to Sell-Side Liquidity
Analysts believe that trends in the sell-side liquidity of Bitcoin could push prices higher over time. The head of technical analysis at Blockfyre – a digital currency research company – recently commented on the potential of Bitcoin to move higher due to suppliers buying coins on the open market. He said:
“A few thought on BTC here: 1. The float is being absorbed 2. The suppliers who introduced supply could be caught off sides and need to pick inventory back up 3. Each subsequent company will have to buy from a lower supply pool. We need a HH on 1D to confirm. Conditions are there,” he said.
Another analyst also said that with eleven publicly-traded funds and firms owning 11 percent of Bitcoin’s total supply, a sell-side liquidity crisis could occur where an increasing number of buyers will dramatically push the price of Bitcoin higher.
A few days ago, Square – a leading fintech firm – bought Bitcoin worth $50 million with 1 percent of the assets on its balance sheet. Many saw this as a validation of the digital currency space while others saw it as highlighting the scarcity of Bitcoin (BTC).