Bitcoin (BTC) Market Sentiment Shifts as RSI Nears Overbought Conditions

Pushpendra Singh, co-founder of PushpendraTech, recently highlighted a notable market sentiment shift, quoting Finance Minister Nirmala Sitharaman: “$ is not falling, #bitcoin is strengthening.”

Bitcoin price remained largely unchanged on Monday evening, dipping marginally by 0.55% in the last 24 hours to trade at $76,329.60. However, the world’s largest cryptocurrency still managed to attract attention with a 24-hour trading volume of $29.18 billion.

Bitcoin price remained resilient amid market fluctuations, prompting Pushpendra Singh, co-founder of PushpendraTech, to highlight a notable shift in market sentiment. Citing Finance Minister Nirmala Sitharaman’s recent statement, Singh noted: “$ is not falling, #bitcoin is strengthening.”

As Bitcoin price dipped slightly, its Relative Strength Index (RSI) stood at 70.47, signaling overbought conditions. Historically, this has suggested a potential pullback or consolidation phase. However, bullish momentum could sustain high RSI levels for longer periods.

Moreover, the Moving Average Convergence Divergence (MACD) indicator remained positive. The blue line was above the orange signal line, reflecting bullish momentum. However, a narrowing gap between these lines hinted at a possible slowdown.

Volume analysis revealed a decline following a recent surge, suggesting a temporary lull in buying pressure. Nonetheless, trading activity remained robust.

Bitcoin’s current support level was $74,000, while resistance levels stood at $77,000 and $80,000.

Bitcoin price remained strong at $76,329.60, with a market cap of $1.51 trillion. A circulating supply of 19.78 million BTC was available, while the maximum supply was capped at 21 million, reinforcing its scarcity-driven value proposition.

Bitcoin Dominance Dipped to 57.88% as Altcoins Gained Traction

Bitcoin dominance, which gauges the market cap of BTC in relation to the total cryptocurrency market, dipped to 57.88%. This indicated a growing rally in altcoins, diversifying the market landscape.

Additionally, BTC exchange balances continued to shrink, emerging as a bullish signal as holders moved assets off centralized exchanges.

Furthermore, open interest in Bitcoin futures increased 1.24% to $86.34 billion, despite a 22% drop in futures volume. Reduced liquidations, down 20.67%, reflected diminished volatility and a stabilizing market environment.

Crypto Fear & Greed Index Remained Bullish at 75

The Crypto Fear & Greed Index remained at 75, reflecting heightened bullish sentiment. This signaled a strong level of confidence among market participants in the sustained rise of Bitcoin price.

Institutional Activity Included Large Transactions Totaling $145.14 Billion

Large transactions, defined as those exceeding $100,000, were valued at $145.14 billion in the past week. Meanwhile, net outflows of $628.58 million supported the bullish outlook as holders exhibited long-term confidence.

Notably, 99% of Bitcoin holders were currently in profit, with 71% holding for over a year. These metrics reinforced Bitcoin’s appeal as a long-term investment.

Changellyblog analysts forecast that Bitcoin’s price in December 2024 will range between $59,821.02 and $84,052.07. The average trading price is expected to hover around $71,936.55.

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