Since the last two weeks, Bitcoin charts have been painted in green, bouncing back and forth in the $34,100-$35,000 range. Now many experts are predicting sideways price movement in Bitcoin, meanwhile, some expect Bitcoin price to fall.
Crypto Experts Suggest a Bitcoin Price Pullback
Julio Monero, the head of research at CryptoQuant, highlighted two key observations related to Bitcoin’s recent price surge. These observations indicate that Bitcoin’s rapid price increase might take a pause.
Bitcoin’s Price Movement
Firstly, short-term Bitcoin holders are selling their holdings at a 6% profit, the highest since April. This suggests that short-term investors are cashing in as the price of Bitcoin reached a monthly high of $35,150 this week.
In addition, large Bitcoin holders, often called whales, are moving their Bitcoin to major exchanges like Coinbase and Binance. This happened as the price of Bitcoin suddenly surged above $35,000.
Bitcoin’s open interest, a measure of trader activity, has remained relatively stable. Trading platform Bybit’s open interest has increased by about 8,000 Bitcoins. Some experts believe that Bitcoin’s price may encounter resistance around $36,000 before potentially falling back.
Bitcoin’s price has increased by 15% this week and currently trades at $34,100. In the past 24 hours, its price ranged between $33,416 and $34,238. However, trading volumes have decreased by 18% in the last 24 hours.
In the broader financial context, the core PCE, a preferred measure of inflation by the US Federal Reserve, has cooled down to 3.7%. However, the month-over-month increase is due to rising energy prices.