Cross-exchange demand for Bitcoin has declined, according to on-chain metrics. However, historical cash receipts / withdrawals from IntoTheBlock showed that the inflow was over 70%. This is one of the reasons why the price has withstood the pressure to sell. Bitcoin’s changing financial metrics suggested that the number of addresses that are profitable and making profits at the current price level is greater.
While the price is around the $ 35,000 level, there is a large percentage of owners who take the drop to $ 30,000 as an opportunity to buy and reduce their average cost. This made it profitable as prices rebounded and the cryptocurrency was on its way to complete its recovery.
The change in Bitcoin ownership and the change in the profitability of HODLers at the current price level are signals of an imminent Bitcoin price rally. In addition to the two most important metrics that point to a rally, the current drop in demand is an indication of the short-term price rally of Bitcoin.
The price was around the $ 35,000 level based on data from coinmarketcap.com and that is likely to change as the price breaks above $ 40,000, an important level of psychological support.
The correlation between Bitcoin and Ethereum is again 0.9, and Ethereum’s rally is similar to Bitcoin’s; The difference is that the price of Ethereum has withstood selling pressure and the upcoming Ethereum update is bullish. Bitcoin’s rally to the $ 50,000 level is more likely with these metrics at current levels.
Another important figure is the transaction fee. As of April 2021, the average Bitcoin transaction fee was over $ 64, but this has changed in the past 2 months. Bitcoin’s transaction fee has gone down and this will likely increase demand, but it hasn’t yet.
45% less than its ATH, and $ 141 million has been withdrawn from Bitcoin in the past week, based on data from CoinShares. In the case of Bitcoin, there is strong resistance below the $ 40,000, and the high volume of purchases above that price level presents a challenge for the price to exceed that level. Unless traders buy at this price level, it is likely that the price will rise above the $ 43,000 level.
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