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Bitcoin prices peak; Probability of correction near $ 30,000

Despite the fact that the price of Bitcoin has repeatedly broken its peak in recent weeks, it is still trying to cross the $ 30,000 barrier. However, market experts believe that there is a possibility of price correction near this area.

To Report Bitcoin Telegraph, Bitcoin peaked at $ 29,400 on Friday and crossed $ 29,800 a few hours ago. However, we have not yet seen the price of Bitcoin stabilize above this range. $ 30,000 is important because crossing it can restore market confidence. On the other hand, the last technical barrier is slightly lower than this area.

Bitcoin price chart
Bitcoin price chart

Market vendors are looking to defend the area with massive orders at $ 30,000 resistance. Exchange offices show that there are a lot of sales orders in the range of $ 29,800 to $ 30,000.

Orders in exchange offices
Orders in exchange offices

Data on orders at Bainance and Bitfinex also show that there are large orders in the $ 29,800 to $ 30,000 range; That means sellers are looking to get it back before it reaches $ 29,800.

A leading Bitcoin market analyst, Loma, said in a statement that if Bitcoin could not cross the $ 30,000 resistance barrier, it would likely fall to $ 29,800. He continued:

Bitcoin will either cross $ 30,000 in the coming days and enter the $ 31,000 to $ 33,000 range, or as we all know, it will drop to $ 29,800. I want to say that if you short on $ 30,000, there is a relatively high probability that you will incur huge losses.

Bitcoin futures traders have been trying to suppress the price of bitcoin for some time and have been buying short futures contracts for the past 24 hours.

Bitcoin price chart

Despite the jump in the price of Bitcoin, the rate of commissions paid by traders of Bitcoin futures contracts in the CoinBase and other major exchanges remained at around 0.01%. It is currently below 0.01, indicating that the majority of the market is selling and shortening.

Meanwhile, small investors in instant markets are accumulating bitcoins. In these markets, there is no news of derivatives trading and the use of leverage.

In the final hours of 2020, the price of bitcoin broke its historic high again. Santiment analysts cite increased activity within small investor chains as a factor in increasing their accumulation.

Because the premiums at QuinnBase exchanges were higher than at other exchanges such as Bainance, QuinnBase small investors made more purchases at the start of the new year. At the beginning of 2021, sentiment analysts said:

Thirty minutes ago, as the Bitcoin market opened for the first time in 2021, the price of Bitcoin once again broke its all-time high of $ 29,560. Active addresses have increased over the past few hours, which has supported the climb.

In the short term, as it approaches $ 30,000, the bitcoin market is likely to see a confrontation between futures traders and small buyers in instant markets.

Active bitcoin addresses and trading volume
Bitcoin active addresses and trading volume

The most important issue to look out for in the short term is the $ 29,800 price behavior of Bitcoin. It is possible that we will see a return to price and widespread correction in this area.

If the price of Bitcoin goes smoothly from $ 29,800, we are likely to reach more than $ 30,000 in the near future.

According to many analysts, in the first quarter of 2021, the price of bitcoin will grow significantly and will continue to rise.


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