Bitcoin sentiment is improving despite profit taking into July.
Crypto markets rose despite regulatory crackdowns from the U.K. and China. Analysts expect continued resiliency above $30K support.
The technical charts suggest further downside is likely as sellers react to extreme overbought conditions since March.
Bitcoin is recovering from a volatile shakeout. Options expiry has large open interest around $40K.
The move caused prices for many altcoins to plummet by 50% or more, causing considerable losses among retail investors.
Bitcoin gave up some gains on Wednesday, suggesting the short-squeeze rally is fading.
Bitcoin’s near 50% decline from all-time highs surprised analysts as China’s crackdown fueled bearish sentiment.
Bitcoin’s ‘death cross’ could increase selling pressure into the weekend.
The U.S. central bank also increased estimates of coming inflation to 3% from the 2.2% projection in March, largely due to transitory factors.
Some analysts are optimistic while others prefer to see stronger signs of upside momentum before calling a bottom.
Investors redeemed a net $141 million during the seven days through June 4, the highest weekly total on record, according to CoinShares.
NU is one of the few coins that has shown positive gains in the past day.
David Portnoy shilling SafeMoon is a synthesis of two huge investment trends this year: influencers and memes moving markets.
“The crypto market is primarily focused on Ethereum and the catapulting DeFi sector right now,” said one analyst.
The DeFi-related assets have grown by double digits so far this year.