After a tumultuous month where Bitcoin’s price tumbled by 7.12%, investors and enthusiasts are eyeing July for a potential rebound. June proved to be a difficult period for the leading cryptocurrency, with its value surging to an impressive peak of $72,000 before plunging to just over $58,000.
Despite the recent downturn, analysts remain optimistic about Bitcoin’s prospects in the coming month. Ali Charts, a well-known figure in the analyst community, has highlighted the historical tendency for Bitcoin to perform well in July following a negative June. Supporting this outlook, historical data showcases an average return of 7.98% and a median return of 9.6% in the month of July for Bitcoin.
Current market activities may be hinting at the beginning of this anticipated recovery. Bitcoin’s price has seen a 4% upswing within the past 24 hours, and as a result, it is now trading at around $63,200. Further bolstering confidence is Bitcoin’s weekly performance, managing to stay in the green by 1.6%.
Moreover, the market has witnessed significant liquidations over the past 24 hours, totaling $106 million. Notably, about 85% of these involved positions of sellers, indicating a strong buying pressure and a possible shift in market sentiment.
Such market movements have historically preluded significant upward price adjustments, and the increase in buying pressure alongside the historical data might suggest that Bitcoin is on the verge of its seasonal rally. Traders and holders alike will be closely watching the market to see if the world’s first cryptocurrency can uphold its July tradition and provide some respite from the savage swings seen in June. However, as with any financial speculation, caution is advised – the unpredictable nature of cryptocurrency markets means that nothing is guaranteed.
