Icon

Claim a 100% trading bonus on purchased BTMT! See more

Insights Analysis Bitcoin is Moving Sideways – Buy or Sell?

Bitcoin is Moving Sideways – Buy or Sell?

July 12, 2023 Analysis
BITmarkets | Bitcoin is Moving Sideways – Buy or Sell?

The cryptocurrency market has certain characteristics and can behave in a manner which can be observed across the entire capital markets sector. One noticeable behavior would be the formation of the so-called range zone. It is when the price of an asset moves sideways; no major ups nor downs, and volatility tends to be somewhat tamed.

BTC4.1

BTC/USD - 4 Hour Time Frame

This phenomenon is currently taking place in the Bitcoin (BTC) market. From June 19th till the 21st, the BTC soared by nearly 20% and that is quite monumental. However, after the buying pressure subsided, Bitcoin by the $30,000 - $31,000 zone.

From our perspective, this means building liquidity before the next impulsive move. Impatient traders are placing their orders, but the market is not yet showing any valid signals to either place a buy or sell position.

The previous impulse move was bullish as influential financial institutions attempt to indulge into Bitcoin exchange-traded funds (ETF), so the probability that the next move will again be on the buyers' side is significant.

Yet, one needs to be cautious because in such range zones, trade orders accumulate and hence buyers will likely place stop loss orders below this zone. Hence, in the case of another bullish move on the brinks, our analysts expect that BTC may slightly fall following the beforementioned price action as a price correction.

There are several scenarios which may occur, and in terms of short-term trading, the wisest move may be to await any further evidential developments to the trend before taking any purchase/sale action.

Try to invite your friends and earn together

Related articles