As the value of Bitcoin (BTC) remains in a range between the $5,500 and $8,500 mark for about three months now, the Bitcoin (BTC) community has been wondering when the spell will break and in which direction it will go.
The director of quantitative research at Element Digital Assets Management – Kevin Lu, a full-service analyst – said the market of Bitcoin (BTC) is in a reflexive state and that short-term traders are responsible for the raging value of the digital currency.
Bitcoin (BTC) Market Is Stuck between Lack of Narrative and Short-Term Traders
Bitcoin (BTC) has been challenging the $7k mark since on Tuesday, but the digital currency hasn’t been able to make a significant, lasting move over that level yet. The trading of Bitcoin (BTC) – the largest digital currency in the world with 53 percent dominance – has become boring.
As the month August of wraps up, and the digital currency industry returns from the summer holiday, BTC investors are becoming more anxious as the bitcoin market remains stable after one of the highest volatile price fluctuations seen in history.
Behind the stagnant value of the digital currency is the dominance of short-term investors – according to Kevin Lu and Thejas Nalval – portfolio director. The report of Nalval compared the trading of Bitcoin (BTC) to Brick Breaker – a video game where players are required to smash a wall of bricks by using a paddle to deflect a bouncing ball.
According to a data analyst at New York-based Fundstrat – Sam Doctor, while short-term traders could be responsible for the ranging value of Bitcoin (BTC), the digital currency may require something huge to revitalize the long-term trend.
Bitcoin (BTC) Price Today – BTC / USD
At the time of writing, Bitcoin (BTC) is changing hands at $7,070 after an increase of about two percent over the past twenty-four hours. The current market cap of the digital currency is $121.80 billion, and its trading volume over the past twenty-four hours is $4.38 billion.