Bitcoin felt strong pressure above 55000 and was unable to continue its bullish rally. Yesterday, the BTC/USD pair reached a high of 55800 and began a correction. Today the BTC/USD pair dropped below 55000 and even dropped below 54000, but the bulls managed to get it back above 54000. At the time of publication, the BTC/USD pair is trading around 54050.
Analysts consider today’s correction to be normal. The important thing is that the BTC/USD pair was able to rise above 55000. That means buyers have enough motivation to get closer to the area of 60000.
So far, the level of 55000 remains an important resistance level for the BTC/USD pair. If the price breaks this level up, it will move to the area around 60000. And some facts indicate that soon we will still see continued growth.
Source: Alternative
The Greed and Fear Index reached 76, which indicates the extreme greed of traders. In addition, as the price of Bitcoin rises, the supply decreases on the exchanges.
Bitcoin exchange supply chart by Santiment
Santiment’s network data highlights that there are only 2,42 million BTC available on well-known exchange wallets, up from a three-month high of 2,55 million. As the supply of Bitcoins shrinks, the selling pressure drops. Consequently, with the decrease in pressure, Bitcoin is gaining momentum for growth.
