bitcoin price took a big hit at the end of last week, once again falling below the psychological level of $70,000. According to CoinGecko data, the btc price is currently around $69,204, reflecting a 0.1% drop over the past day.
However, on-chain data suggests that the leading cryptocurrency is retesting a significant support level and could soon resume its upward trajectory.
Almost 2 million addresses purchased at this bitcoin price
In a recent x.com/ali_charts/status/1799383834464759943″ target=”_blank” rel=”noopener nofollow”>post on the platform, prominent crypto expert Ali Martínez revealed that bitcoin has established a major support area around its current price. This evaluation revolves around the number of coins purchased around the current price level, based on data from IntoTheBlock.
<img decoding="async" class="aligncenter" src="https://technicalterrence.com/wp-content/uploads/2024/06/Will-Bitcoin-price-stay-afloat-at-67000-Here-is-the.jpeg" alt="bitcoin price” width=”1200″ height=”412″/>
Source: x.com/ali_charts/status/1799383834464759943" target="_blank" rel="noopener nofollow">Ali_charts/x
Above is a chart showing the distribution of bitcoin supply across various price ranges. The size of the points on the chart represents the strength of the resistance and support zones and the volume of coins purchased in each corresponding price range.
Data from the market intelligence firm shows that 1.97 million addresses purchased approximately 965,000 btc between the $67,353 and $69,383 levels. According to Martínez, significant buying activity within this price zone has led to the establishment of a key support area.
In the post on x, the crypto analyst highlighted the strength and importance of the range the btc price is currently in. Martínez noted that the $67,353 – $69,383 support zone must remain strong for bitcoin price to “maintain its bullish momentum.”
The almost 2 million investors who have their cost basis around this support area you could double your position and accumulate more btc, and this buying activity, if enough, can ensure that support remains strong. However, if this vital support area does not hold, investors could see the btc price fall to $65,000.
$1.57 Billion in btc Withdrawn from Centralized Exchanges
An on-chain development has come to light that could potentially impact the price of bitcoin and help keep it above the aforementioned support level. In another post on x, Ali Martínez shared that investor confidence seems to be increasing right now.
The crypto analyst revealed that significant amounts of btc left centralized exchanges last week. According x.com/ali_charts/status/1799423380648767670″ target=”_blank” rel=”noopener nofollow”>Glassnode dataApproximately 22,647 btc (equivalent to over $1.57 billion) were transferred from crypto exchanges in the last seven days.
<img loading="lazy" decoding="async" class="aligncenter" src="https://technicalterrence.com/wp-content/uploads/2024/06/1717938543_840_Will-Bitcoin-price-stay-afloat-at-67000-Here-is-the.jpeg" alt="bitcoin price” width=”1199″ height=”675″/>
A chart showing the bitcoin price and balance on exchanges | Source: x.com/ali_charts/status/1799423380648767670" target="_blank" rel="noopener nofollow">Ali_charts/x
This massive outflow of crypto funds from trading platforms suggests a change in investor sentiment and strategy. What's more, it could be indicative of new accumulation, as investors are unwilling to leave their newly acquired assets in the custody of centralized exchanges.
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bitcoin price above the $69,000 level on the daily tiemframe | Source: BTCUSDT chart on x/CbEIp9p5/" target="_blank" rel="noopener nofollow">TradingView
Featured image from iStock, chart from TradingView
