The expert cryptocurrency analyst presents numerous arguments in favor of Bitcoin’s growth
Famous cryptocurrency enthusiast and analyst Will Clemente propose a thesis
Clemente stressed the successful passage of backwardation and the negative financing of BTC futures contracts on cryptocurrency exchanges. Additionally, Bitcoin is starting to build dominance again, as its index hit its lowest value since 2018, bouncing back to around 40% at one point. The analyst also pointed to a number of bullish signs, citing divergence status and metrics on the chain as evidence.
Think the market is underweight BTC
– Several weeks of open interest with negative financing and backwardation wrapped in 1 candle
– Successful demand test in Coinbase’s order book
– BTC’s dominance rebounds from 2018 support
– Commodity rollover, CPI likely lower than expected pic.twitter.com/pisef1hiND
– Will Clemente (@WClementeIII) September 10, 2022
Clemente’s opinion on the most ephemeral signals is the most interesting. Positive statements from the heads of major cryptocurrency venues and increased circulation of Bitcoin obituaries in the crypto space clearly indicate that the market has bottomed out, the expert believes.
However, possible doubts still have room in the question of US monetary policy and, in particular, the Fed’s fight against inflation, which directly affects the price of cryptocurrencies. According to the analyst on this issue, it is worth waiting for a drop in inflation after the series of aggressive rate hikes by the regulator.
However, as is customary with the Fed, actions and rhetoric can hold a number of surprises given the unstable macro and geopolitical environment in the world.
Bitcoin (BTC) price review.
For now, Bitcoin has managed to break out of the all-important $ 21,500 price level. If the price holds until the US stock market opens, with the S&P 500 continuing to rise at $ 4,100, a rise can be expected. Otherwise, if the index undergoes a correction, Bitcoin is likely to chase it. Support levels at the moment are the $ 20,800- $ 21,000, $ 20,500- $ 20,000 blocks.
There is also speculation in the crypto space that Bitcoin’s slight rise was triggered by a recent interview with the British king, Charles III, who is surprisingly knowledgeable about blockchain and the technology associated with it.