Crypto Industry News:
The latest data from blockchain analytics company Arcane shows that publicly traded miners sold more BTC in June than they produced.
From January to April of this year, they only got rid of 20% to 40% of their production, sticking to their hodl strategy at all costs. The dynamics changed, however, as BTC plunged from $ 40,000 to $ 30,000 in May.
The report identified companies such as Core Scientific and Bitfarms as the mining entities with the largest share of the decommissioning. The former dropped nearly 10,000 Bitcoins, leaving "only" 1,959 BTC, while Bitfarms sold 3,353 BTC. Meanwhile, Northern Data wiped out all of its Bitcoin and Ethereum holdings in May and June.
Arcane Research said the massive sales will pay off with the upcoming infrastructure upgrades and machine deliveries. In 2021, miners were able to raise funds to cover the costs of mining. Now, however, access to external capital has weakened drastically due to rising interest rates and less investor interest in Bitcoin.
Technical Market Outlook:
The BTC/USD pair has bounced 7% in the last 24h, but is still trading inside the ascending channel. In a case of further bounce extension, the next target is seen at the level of $22,492, which is the local high from July 8th. The level of $21,867 will now act as a technical support for bulls. The larger time frame outlook for Bitcoin remains bearish, however, we have unconfirmed Bullish Engulfing pattern on the Daily time frame chart, so please stay focused and keep an eye on the key technical levels. The gamechanger level is located at $25,367.
Weekly Pivot Points:
WR3 - $23,780
WR2 - $22,629
WR1 - $22,245
Weekly Pivot - $21,487
WS1 - $21,094
WS2 - $20,326
WS3 - $19,175
Trading Outlook:
The down trend on the H4, Daily and Weekly time frames continues. So far every bounce and attempt to rally is being used to sell Bitcoin for a better price by the market participants, so the bearish pressure is still high. The key long term technical support at the psychological level of $20,000 had been violated, the new swing low was made at $17,600 and if this level is violated, then the next long-term target for bulls is seen at $13,712. On the other hand, the gamechanging level for bulls is located at $25,367.