As $50,000 is out of reach, Bitcoin price shifts to test lower support levels

Bitcoin (Bitcoin) Continue to be below $50,000 on the last day of August because analysts demand higher levels to continue the bull market.

BTC/USD 1-hour candlestick chart (Bitstamp). Source: TradingView

51,000 USD is still a deal breaker for BTC

Data from Cointelegraph Markets Pro with Transaction view As BTC/USD continued to trade in a four-day declining channel, Tuesday painted a dull picture for investors.

although Very inspiring On-chain indicators and fundamentals, the BTC price trend disappointed the market throughout the weekend and beyond, as the lack of momentum kept $50,000 in the Gulf.

The main resistance that is now consolidated on exchanges of $51,000 and above remains solid, and analysts say the outlook remains bleak until the level turns to support.

According to Cointelegraph contributor Michaël van de Poppe, “We made it clear that $51,000 is a level that Bitcoin must break through.”

according to Van der Pope:

“…If this happens, we are likely to enter a new wave of impetus, which will return to $58,000 at the beginning, and then may hit a record high.”

Although it is only $17,000 from the all-time high, at the time of writing, these levels seem to be a distant goal.

Looking at the trading level of Binance, the major exchange, it is confirmed that a large number of buyers are needed to get Bitcoin out of its current trading zone.

BTC/USD trading level (Binance) as of August 31. Source: Material Indicators/ Twitter

Accumulation will avoid a sharp drop in prices

Others also believe that Bitcoin is not drifting in the direction of resistance, but retesting demand, but due to the previous accumulation phase, this demand has been consolidated.

related: Bet on the Bitcoin bull market?Not in September, the BTC price data shows

“Slowly but surely, BTC is getting closer and closer to its next major demand area,” Said Popular trader and analyst Rekt Capital.

The degree of accumulation in the $40,000 range is large, and the data indicates that a sharp drop in prices is unlikely.

The analyst firm Glassnode wrote in its latest report: “As the price rises above $50,000 and there was some significant profit-taking last week, the market is currently at the top of a very high-volume on-chain node.” Weekly report August 30.

The report shows that the cost basis of 1.65 million BTC is between US$45,000 and US$50,000.

The analyst added: “From a net worth perspective, this shows that there are still quite strong high-confidence investors in the market, which is a strong signal for the bulls.”

Bitcoin UTXO implements price distribution annotation map. Source: Glassnode