Bitcoin (BTC) remained tightly within the August 24 range as buyers and sellers attempted to trigger a breakout.
Spot prices will be tighter
According to data from Cointelegraph Markets Pro and TradingView, the BTC/USD pair was close to $21,500 when Wall Street opened.
Both had seen little action in the previous 24 hours, entering the fifth day of sideways movement in an increasingly tight range.
Binance exchange order book data has been uploaded to social media by Material Indicators, a chain monitoring resource leave them alone heard that the status quo was frustrating exchange users, including whales.
At the time of writing, bids were approaching the spot price, and seller interest increased to $21,600.
This can lead to volatility, as liquidity reduces the range in which the BTC/USD pair floats – up or down, depending on whether buyers or sellers prevail.
“I’m always looking for a leg down to the lowest levels followed by a wave of relief,” said declared renowned Crypto trader Tony to his Twitter followers in an update from the day.
Another trader, Crypto Ed, said he was “not sure” about the strength of the reversal from the weekend low around $20,800.
In his latest YouTube video, he highlighted potential market entry levels between these lows and the current low, with a view to retesting. Before that, he said, bitcoin could revisit the highs of a range just above $22,000.
The dollar returns to a two-decade peak
Meanwhile, equities reinforced the view that the day could be characterized by a resurgence in risky assets.
Also read: Bitcoin Bidders Could Win Big as Two Key Moving Averages Set to Cross
Both the S&P 500 and the Nasdaq Composite Index advanced at the opening on Wall Street, and Cointelegraph contributor Michaël van de Poppe pointed out consequences for the BTC/USD pair.
— Michael van de Poppe (@CryptoMichNL) August 24, 2022
#Nasdaq is bouncing higher, and #Bitcoin looks to break through $21,500. — Michael van de Poppe (@CryptoMichNL) August 24, 2022
The popular Game of Trades Twitter account took a longer-term bullish view on US stocks, noting that 90% of S&P 500 stocks were now above their 50-day moving average.
“This chart suggests tremendous returns for investors in 6-12 months. Charge,” he said. advice to his followers.
A headwind may have been blowing in the form of the US dollar. After falling quickly following the release of US manufacturing data, the US dollar index (DXY) reversed the day’s losses and returned to new 20-year highs.
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