Bitcoin bulls have their sights set on $64K, a significant level last seen in late August. Avoiding a repeat of past downturns and overcoming bearish pressure is crucial.
Bitcoin’s Bull Run Depends on $64K
The current cycle resembles early August trends where Bitcoin rose to $64K after dipping below $55K. However, the 18-day surge was marked by inconsistent bearish pressure. Now, although there are more consistent green candles, the growth rate is less steady, causing volatility among stakeholders. Bitcoin has traded at $63,543 for the past four days, below the $64K mark.
Current Price May Be Out of Reach
Over the past two days, Bitcoin trading volume on centralized exchanges (CEXs) has dropped from $17 billion to $6 billion. This sharp decline could increase volatility, shaking investor confidence in a trend reversal. Reduced exchange activity could imply either profit-taking by investors or waiting for a dip to buy Bitcoin at a lower price. If this trend continues, it could set the stage for a resurgence of short positions.
There Might Still Be Hope
As October, possibly the most volatile month, concludes, 'Uptober' could signal a bullish turning point for the market. On the day Bitcoin saw a minor 0.37% decline, the RPL ratio dropped, indicating losses. However, since then, the majority of transactions have occurred higher than the original price. Large transaction volumes have surged, with deals over $100,000 showing significant activity. Bulls are pushing against resistance at $64K. Currently, the steep decline in CEX volume is reinforcing short dominance, creating a barrier for Bitcoin.
However, if the market stabilizes and sellers realize profits, FOMO could incentivize longer-term commitments. Monitoring CEX volume alongside speculative activity is crucial, as their dominance might push Bitcoin back below $60K.
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