September 30, 2022

Bitcoin Price Analysis & Onchain Overview: BTC Starts a Critical Week Amid $50K

3 min read

Long-term Technical Analysis: The Monthly

Based upon the month-to-month timeframe, the market is disappointing any strength yet. Let’s examine the marketplace structure using the trend lines and signs shown in the following chart.

If we compare the existing cycle (2021) with the previous one (2017 ), the RSI indication is still on its uptrend with a lower slope (marked by green – – dynamic line

). Throughout the 2017 bull run, the failure of this line indicated the end of the bull run (the red vertical line). Nevertheless, the mid-term pattern line was already broken in April and developed comparable conditions as were seen once the 2017 bull run ended. It stays to be seen if striking the brand-new ATH was completion of a bullish stage that started in July.

The Stochastic RSI oscillator is presently near the oversold location. We still have to wait on the cross above the 2 lines in this index, which had been the start of the strong uptrend (green vertical line). Another confirmation gotten is the break of the downtrend line in RSI (yellow dynamic dashed line).

It appears like the BTC rate will enter a volatile phase for a while, prior to acquiring the momentum needed for a substantial uptrend. Such an uptrend typically requires an essential driver (favorable news) or a new age of newcomers injecting fresh capital into the market.


Short-Term Analysis: The 4-Hour Timeframe The yellow static zone is the significant resistance location en route to healing for bitcoin. This zone integrates vibrant resistance, fixed resistance, and the MA100 line. Ten days ago, bitcoin battled with this resistance, and after stopping working to break above, BTC dropped dramatically to$42K( Dec-4 ). Breaking above this resistance can confirm the end of this short-term downtrend.


Options market Analysis This Friday, 17 DEC 21, about $662 million worth of bitcoin choices contracts will end on Deribit Exchange. Max pain cost is $50k for this expiration. Calls at $ 60k strike rate have the highest open interest – – great deals of calls sold for this strike rate.


To better understand alternatives traders’activities for Dec, we can think about the Total volume trend particularly filtered for December’s expirations. P/C Ratio increased for this month, meaning choice traders still want to hedge against the marketplace’s downside.


Last week’s leading instrument OI change reveals great deals of calls activities at 60k strike for 31-Dec expiry:< img class="aligncenter size-full wp-image-157323"src =""alt="btcusd-dec12-p5" width="624 "height=" 416 "srcset=" 624w, 300w, 50w" sizes ="(max-width: 624px )100vw, 624px "/ > On-chain Analysis An interesting on-chain metric to watch in recent weeks was the BTC hashrate.

Following the great migration of miners to North America, simply after China banned the mining, the network has actually gotten its hashrate again. This healthy and constant trend reveals the string conviction of brand-new financiers in the mining market. The new miners are not responding to the marketplace sentiment, and all they seem to take care of is to my own as much as they can. Simply put, the threat of missing out on the mining opportunities is high for these new players.


The above analysis was complied by @N__E__D__A, @GrizzlyBTClover, and @CryptoVizArt. Information provided by @tsypruyan specifically for CryptoPotato.