Crypto Industry News:
Analyst company Glassnode recently noticed the huge increase in the volume of transactions on the Bitcoin network. Data released by the company shows that the average weekly transaction volume has increased to a new record high of over $ 8 billion. At the time the record was recorded, the figure was in fact more than 50% higher than the previous peak.
It's worth noting, however, that this result most likely doesn't mean that transfers were made between regular users. Other data indicated that the adjusted unit transfer volume in USD did not show the same increase as it did in the context of the aforementioned record number.
Therefore, the most likely explanation is that the spike could have originated in internal transfers, which seemed to be confirmed by the relatively calm mempool.
Glassnode analysts emphasized that after the recent declines, the number of bitcoin holders has increased dramatically.
Retail investors tend to join a rally when the price rises dynamically and back out when it falls. Consequently, the number of wallets with one or less than one BTC fell after the correction in mid-May. Now, however, as the cryptocurrency has once again approached $ 50,000, investors have started to come back.
First, non-zero addresses once again exceed 38 million, the highest level in the last 30 days. This represents an increase of around half a million from the beginning of August.
Those with at least 0.01 BTC hit a three-month high of just over nine million. The last peaks in this area were recorded in April and May at the level of about 9.2 million.
Technical Market Outlook
The BTC/USD pair has been seen consolidating around the level of $46,719. The nearest technical resistance is seen at the levels of $49,316 and $50,456 (last week high). The key short-term technical support is seen at $46,719 and $46,209 (last week lows). On the higher time frame chart than H4, the bulls are having problems with the level of $51,189, which is the 61% Fibonacci retracement of the whole move down.
Weekly Pivot Points:
WR3 - $54,910
WR2 - $52,718
WR1 - $50,895
Weekly Pivot - $48,630
WS1 - $46,765
WS2 - $43,987
WS3 - $42,007
Trading Outlook:
The bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $70,000. The next mid-term target is seen at the level of $51,189, which is the 61% Fibonacci retracement of the whole move down. This scenario is valid as long as the level of $30,000 is clearly broken on the daily time frame chart (daily candle close below $30k).
