- The price of Bitcoin (BTC) could not maintain its gains after reaching $28,184 following Grayscale’s victory against the United States Securities and Exchange Commission (SEC).
- The price movements of Bitcoin at the beginning of September raised questions about the fate of the cryptocurrency in September, as September has historically been considered a “bear” month.
- A break below $25,400 could lead BTC to target $23,340. On the other hand, a move above the daily moving averages around $27,640 and $28,423 could strengthen a move towards $30,000.
As uncertainty continues in the price of Bitcoin, an analytics firm highlighted an important metric that could determine the direction for BTC.
Bitcoin Unable to Sustain Gains in Grayscale Victory
The price of Bitcoin (BTC) could not maintain its gains after reaching $28,184 following Grayscale’s victory against the United States Securities and Exchange Commission (SEC). The joy was short-lived as Bitcoin lost all its gains after the SEC postponed its decision on all seven spot Bitcoin exchange-traded fund (ETF) applications.
Bitcoin then dropped to around $25,307 on September 1, the lowest level in about two weeks. However, Bitcoin slightly recovered to $25,816 at the time of writing. The leading cryptocurrency is experiencing a daily decline of about 1%.
The price movements of Bitcoin at the beginning of September raised questions about the fate of the cryptocurrency in September, as September has historically been considered a “bear” month. As previously reported, Bitcoin has had negative returns in September over the past six years.
Crypto analyst Ali’s on-chain data analysis suggests that Bitcoin could risk a journey to $23,340 due to a lack of strong support below $25,400. On the other hand, IntoTheBlock highlights $30,000 as the next milestone for BTC, as 6.2 million addresses have bought 2.6 million BTC towards the $30,000 target.
$30,000 or $23,000 for BTC?
On-chain analysis firm Santiment provides an important factor that could determine where Bitcoin is headed. According to Santiment, the possibility of whale stablecoin supply determining where BTC goes is strong; either $30,000 or $23,000.
According to Santiment, whales are currently indecisive about accumulating stablecoins. Analyzing their large wallets to see the proportion of stablecoins they hold is a tried and tested way of predicting where the crypto will go. An increase in buying power indicates an upward movement.
This is consistent with on-chain data suggesting that whales may have elevated the recent surge in a certain way. According to IntoTheBlock data, addresses holding 0.1% or more of Bitcoin’s supply added over $1.5 billion worth of BTC in the past two weeks.
However, for now, Bitcoin continues to oscillate within a wide range between $24,800 and $31,000. As mentioned above, a break below $25,400 could lead BTC to target $23,340. On the other hand, a move above the daily moving averages around $27,640 and $28,423 could strengthen a move towards $30,000.
