Bitcoin is currently trading at around $63.5k at press time. So far, it hasn’t recovered above its previous all time high of $64.5k let alone the new one set at $67k. So, despite being near record levels, it is still considered in correction phase if being analyzed as a bullish phase. Altcoins, however didn’t correct themselves like Bitcoin and kept up with their recent rise. Ethereum especially also achieved its own record price index of $4.3k but it lasted shorter than Bitcoin’s.
Bitcoin’s immediate price correction following a new all time high was expected by some traders and they are now waiting for the bullish pressure to resume yet again. The largest digital currency by market capitalization has put the brakes on further price increases at the moment. The bulls are looking for the right kind of push that will propel the index further upwards and not just hover around $67k going forwards.
Image Source: TradingView
Funding rate for Bitcoin Futures skyrocketed to new highs as the digital currency broke its previous records day before yesterday. However, following the price correction, they have returned some form of normalcy. Same is the case with open interest and that is also now nearing manageable levels. According to some analysts, this phase we have right now with these wayward statistics, the cryptocurrency is now going to try and overstretch itself to achieve price targets like $80k and $100k.
This has always happened before in previous Bitcoin bull runs and it is expected this time as well. The cryptocurrency can remain in oversold territory for a long time, have a high level of greed index and have overflowing amount of crypto into exchanges. But, the price will still keep creeping up till it comes to an iconic spot where it cannot take anymore. For the first bull run, it was around $1,000, for the second bull run it was $20k and for the third bull run, it is still to be determined but it has made it up to $67k.
In what is being termed as a picture perfect price rejection after achieving its own all time high of around $4.36k. The second largest digital currency by market capitalization is now back at around $4.1k and thus, the market has rejected further upwards move by it.
According to this one analyst:
We couldn’t even celebrate $ETH ATH for longer than 30 seconds
Lmfao ruthless market makers
— Johnny (@CryptoGodJohn) October 21, 2021
Both price rejections make this contest very interesting as it remains to be seen who will bounce back first. It is likely that the first one that bounces back right up will steal the show.
Image by Miloslav Hamřík from Pixabay
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