Bitcoin Price

The bitcoin price has recently suffered from a distinct malaise, trading within a reasonably defined range for several weeks. Since late May, the digital currency has mostly stuck between $30,000 and $42.0, CoinDesk figures show.

Despite this, some market observers have claimed that the digital currency is not only poised to break free from its current range but could experience some serious upside when doing so. Oliver von Landsberg-Sadie, CEO of payments company BCB Group, spoke about this recently.

“All on-chain analysis shows that we are on the tight end of a catapult,” he told CoinDesk.

The bitcoin price has recently suffered from a distinct malaise, trading within a reasonably defined range for several weeks.

Since late May, the digital currency has mostly stuck between $30,000 and $42.0, CoinDesk figures show.

Despite this, some market observers have claimed that the digital currency is not only poised to break free from its current range but could experience some serious upside when doing so.

Oliver von Landsberg-Sadie, CEO of payments company BCB Group, spoke about this recently.

“All on-chain analysis shows that we are on the tight end of a catapult,” he told CoinDesk.

“On-chain analysis indicates that supply is being transferred from impatient speculators to bitcoin whales with larger wallets, with new wallets selling and older, larger wallets buying.

“This theoretically indicates that smart money is accumulating ahead of the next major step to the upside.”

Jake Wujastik, the chief market analyst at TrendSpider, provided a different view, noting that:

“I disagree in the short term. I would argue that tensions are currently on the downside as bitcoins are holding up, they need to capitulate to reset the price.

“Points to watch out for short term at $27k level below VWAP anchored by covid lows.”

“Based on historical seasonality, we are entering one of the weakest months of the year next month with only a 20% win rate for August over the past 5 years,” he said.

Assessing Probabilities

  • Jeff Dorman, chief investment officer at asset manager Arca, offers a third perspective.
  • “Bitcoin is a binary option. It is either close to $0, or it likely means $10,000,000 (roughly $500k/BTC), he said.
  • “Everything in between is just a path function depending on the increase or decrease of probabilities and the time of hitting any of these extremes.”
  • “Earlier this year, those prospects increased as talk of inflation was rising, corporate treasurers were buying, and Eon Musk gave confidence to retail traders,” Dorman said.
  • “Over the past three months, those prospects as Aon pulled out, ESG fears sprung up, and China broke up,” he said.
  • “Traders can use any mumbo-jumbo they want to just about ‘stress’ and ‘breakout,’ but the reality is, it’s meaningless compared to how you measure probabilities.

By Alex Alena

Alex Alena has been the lead news writer at Cryptocurrency Updates. With a degree in communications, Matt has an uncanny ability to make the most complex subject matter easy to understand.