Bitcoin (BTC), the number one crypto, has for the last two weeks been frozen up to a movement that an expert analyst says is due to a "chronic lack of demand."
As per Jani Ziedins, a cryptoanalyst at Cracked Market, the incapability of BTC to shatter the $6,800 impediment shows that there is a fall in demand for crypto.
“Bitсоin is still struggling to brеаk $6.8k rеѕiѕtаnсе. If buуеrѕ wаntеd to buy this dip, thеу would have jumped in already. Thе сhrоniс lack оf dеmаnd аt thеѕе lеvеlѕ iѕ a соnсеrn, аnd the path of lеаѕt resistance remains lоwеr,” Ziеdinѕ ѕаid.
Regardless of different developments in the digital currency landscape, BTC's price has been exchanging hands in a $1,500 range, that is the smallest monthly trading range it has experienced since the month of July last year when it was changing hands for under $2,000.
Thus, analysts at Element Digital Asset say that the lack of unpredictability of BTC price could imply that investors are beginning to adopt crypto as a store of value. According to the analysts, the US SEC imminent decision on the VanEck-SolidX BTC ETF may assist BTC breakout of its present range.
Technical signals have shown a lack of impetus and volume in BTC, especially late last month. But as The Wall Street Journal laid it, a big population of traders in the digital currency market have been using bots in taking a stab at market manipulation.
Other analysts noted that, for quant traders, it is normal practice to disintegrate big orders into smaller orders known as iceberg orders to conceal the magnitude of the entire order.
Consequently, it is possible that regular accumulation of BTC in the mid-$6,000 area and the indication of seller fatigue by the market, as multi-billionaire investor Mike Novogratz alluded to, could have caused BTC to stabilize at a bottom price for many months.