The price of Bitcoin was always touted to reach new heights, with great expectations from crypto experts and non-experienced crypto fans alike. Now that the price of, perhaps, the greatest-known cryptocurrency on earth is about to enter an upswing, all the professional traders seem to have sunk into the woodwork and disappeared. Where are they, and why is there no sign of them?
Looking at the Charts
June has just begun, and the charts look good for Bitcoin. There is little room for doubt about its potential climb. The long-standing symmetrical triangle is about to break in the direction of an upward trend. However, according to the metrics of derivatives, there is another story to be told. Pro traders are not prepared to add long and leveraged positions, overcharging for protection on the downside.
Will Bitcoin Undergo a Course Reversal?
The question arising in everyone’s mind is whether Bitcoin will go on a course reversal in light of crumbling macroeconomic conditions. Furthermore, its worth seeing if bitcoin turns the $30,000 to $31,000 levels into support. This will largely depend on how markets perform on a global scale. Right now, from stock markets to real estate, inflation has hit people hard. The cause for bitcoin isn’t helped much with the growing popularity of Ethereum either. Investors may be avoiding the Bitcoin bite due to expectations of a future downturn.
Another reason traders may be sceptical about trading in Bitcoin right now is because the premium of Bitcoin’s futures is lying low below the 4% mark. This is the case since 12 April. Such a reading implies a typically bearish market.