Briefly –
- BTC prints exhaustion signals as the assets continue to recover from their recent drop.
- Though with the downswing threats, most on-chain metrics support bullishness.
- Failure to stabilize above $40K might catalyze losses to $36K.
Bitcoin depicts sluggish performance following the latest crash as it attempts to authorize an ascent towards $50,000. However, recovery chances continue to dim as the 24 September daily candle dips in the red.
Adoption Increases but Investors Avoid BTC
On 23 September, Twitter announced an update to let its users accept Bitcoin tips. Though these rumors faced banishes some days ago, the functionality will allow customers to send cash globally without intermediaries such as MoneyGram or Western Union.
For now, the social media platform plans to launch a functionally that will allow its followers to authenticate and sign their NFTs.
Though the decision by Twitter might catalyze Bitcoin adoption, institutions appear to move away from the asset, choosing ETH. JPMorgan reported that BTC futures declined in price, suggesting fading interests by institutional investors. Meanwhile, ETH futures dipped in contango during September sessions, confirming increased institutional demand. Such developments indicate interest in shifting to Ethereum from Bitcoin.
Bitcoin Current Upticks
Bitcoin formed an upswing on 7 September near $52,956 and another lower high around $48,843 on 18 September. Though the recent recovery pushed the asset to $45,021 from $39,573, it is unsure whether the coin will extend its uptrend.
If the asset maintains its upsurge, it might topple the resistance at $46,856, then $49,436 in an optimistic case. If the bullishness persists, BTC will have a chance to touch the psychological area at $50,000. Overpowering this level will form a higher high, confirming bullish momentum, another opportunity for buyers.
The GIOM model supports the bullish narrative as it indicates sidelined investors might emerge at $46,051 to push the asset higher. At this level, nearly 1.22 million addressed bought 534,000 Bitcoins. With that, a conclusive close beyond $46,000 will mean reduced risks.
The Net Realized Loss/Profit metric flipped positive. This indicator measures daily addresses’ loss/profit, and it shows near-term investors in profit. Finally, the MVRV model reset on 21 September, suggesting sell-off threats. However, the near-term already passed. With that, market players can anticipate a slight rally.
Though the positivity, the obstacles at $46,857, $79,437, and $52,956 remain critical in determining Bitcoin’s uptrends. If buying activities continue to fade, Bitcoin might endure a plunge towards $38,287. Magnified selling pressure may push Bitcoin to hit the lows at $36,276.
