Bitcoin has consolidated over time after its last rejection at $ 10,000. This is due to the fact that the structure of the medium term cryptography market shows immense signs of strength, although in the short term it seems to be in a precarious position.
Despite this, analysts are now widely returning to Bitcoin, citing a price divergence and the emergence of some large spot offers on OKEX.
The massive growth in Tether's market capitalization – compared to that of Bitcoin – is also a phenomenon that some analysts point to as a reason to be optimistic about crypto.
Bitcoin flashes signs of weakness in the short term, but big buyers are active
As of this writing, Bitcoin is trading just under 2% at its current price of $ 9,490. This marks a significant drop from the daily highs of over $ 9,900 that were set last night.
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The cryptocurrency has been able to find notable support around its current price level, although its slight weaker drift in the past few hours seems to indicate some short-term potential weakness.
An analyst recently Explain that he thinks it is imperative to close above $ 9,550 in order for Bitcoin to maintain its strength in the short term.
Otherwise, $ 9,900 could be a local summit.
"BTC: there is the breakdown and the rebound in the low $ 9k. Nice wick, as a closing above $ 9,550. If not, then probably a sign that it was a local summit", a- he declared.
The hourly closing in the next hour should offer a significant insight into the current strength of the benchmark cryptocurrency.
It is important to note that some large buyers are currently supporting the market, like another analyst. recently pointed outlarge buy orders on OKEX as a reason why it is comfortable to spend a long time on BTC at this time.
"Long here. Fairly large delta divergence. Very large OKEX cash orders hit the tape. I think OKEX is as close as possible to the "signed order flow", he explained.
Could Tether's Market Cap Growth Boost BTC?
One notable event observed in the crypto market in recent months is that Tether's market capitalization has exploded.
Data from CoinMarketCap shows that it has grown from $ 4.1 billion at the start of the year to its current size of $ 8.8 billion.
This massive growth can be at least partially rooted in individuals around the world who buy the USD as a way to add exposure to the U.S. dollar to their portfolios – indicating that the USD is still widely regarded as a safe haven in turbulent times.
A trader on Twitter recently offered a graph showing the growth of Tether versus Bitcoin – suggesting that it could be bullish as some of this money could soon be siphoned off in BTC.
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