The BTC price is struggling after recently facing a series of rejections at $60K. Yesterday, we saw BTC dip below the crucial support at $55k and trade at prices below $54K before correcting higher.
The king coin is currently consolidating gains near $56K, but there is a key bearish trend line forming with resistance at that level.
BTC/USD Chart by TradingView
After six full months of green candles that saw the BTCUSD exchange rate gain about $10K per month, the powerful upward impulse is finally slowing down. Technical signals are severely overheated, with the MACD indicator flipping bearish for the first time in months.
Moreover, the weekly Relative Strength Index indicator shows signs of losing its uptrend line, indicating that BTC could pull back further from recent highs. Multiple other technical indicators, such as the Stochastic indicator, say that the BTC price action should be bearish in the near term, but fundamentals remain unfazed.
BTC Fundamentals are Here to Save the Day!
BTC prices are reeling at the moment, but investors can expect any corrections in the asset to be bought up pretty quickly. Despite the overheated technical signals, fundamentals in the bitcoin market are too strong.
The flagship crypto is currently attracting a lot of attention from institutional investors with deep wallets. The increased institutional adoption has meant that BTC supply continues to diminish as tens of thousands of coins leave Coinbase exchange every week. The bitcoin market was already experiencing a supply shock due to the 3rd halving event last year, leading to unprecedented demand.
These strong fundamentals, coupled with reduced selling pressure from miners in recent weeks, leave only large whales offloading coins to push overheated technicals along.
Indeed, holders with massive stashes of BTC have been taking profits off the table during recent selloffs, causing the most significant reduction in wallets of whale size in history.
The good news is that the selling pressure from these whales is reducing, creating room for an incoming wave of whales ready to buy what’s left of the dwindling coin supply. Bullish fundamentals could indicate that any impending selloff will be violent but swift, followed by a rebound in BTC prices.
THETA Price Explodes; Coin Enters Top 10
The THETA price has seen a sharp rise over the past week, climbing from $6.00 to levels above $14.00. The explosive price action has pushed THETA/USD to a new all-time high of $14.57. The coin is now consolidating gains near the $13.00 support base.
THETA/USD Chart By TradingView
THETA has now entered the top ten of the most valuable cryptocurrencies as per data from CoinMarketCap. The solid uptrend has seen it outpace both BTC and ETH on the weekly charts and hit a market cap of over $13 billion.