Crypto sources report that the Bitcoin price fell below $60,000, and this led to the largest exchange buying since February 2022 to accumulate more Bitcoins. The unfolding political risks and macroeconomic factors made investors cautious, and they saw the current Bitcoin exchange price as a perfect buying opportunity. As archived on CryptoQuant, this price surge was accompanied by Bitcoin price outflows on exchanges, pointing to buyers’ interest from the retail as well as institutional investors.
Historical Bitcoin Purchases at $60k Level
On October 3rd, Bitcoin price dropped to levels under $60 000 decreasing to $59 860 on Bitstamp. This led to an almost instant reaction from traders, as charts from Crypto source and TradingView revealed the rise in Bitcoin buys. The $60,000 level became the psychological support and traders would immediately buy the dip at that price level.
The recent trend of Bitcoin price outflows pointed towards exchanges showed that the buyers’ activities were on the rise. According to CryptoQuant, the 30, 50, and 100-day moving averaging of Bitcoin exchange withdrawal reach the highest level since the bearish market in 2022. It is also followed by the movement of funds associated with investors who withdraw their money from the exchanges, a concept normally taken as bearish.
As pointed out by a writer at renowned crypto media outlet, which is a contributor to CryptoQuant, there are signs of rising Bitcoin outflows – major moving averages support the thesis of buy-side pressure. This withdrawal can only mean that investors expect some form of price bounce sometime soon in the near future.
Traders Split Between Optimism and Caution
Even though the Bitcoin price drop brought buyers’ optimism not all traders believe in its recovery at the moment. Another known crypto analyst Toni Ghinea was less optimistic and informed his audience on X (previously twitter) that further decline could occur. “Anyone bullish into October is on the WRONG SIDE,” Ghinea said while offering the target of $56,000 before a possible bounce back.
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However, other market Analysts like CrypNuevo have noted that the markets could quickly bounce back. On X, he opined, “To the dollar, we arrived at the exact psychological $ 60,000.” It might be reasonable to penetrate slightly below it to get stop losses and liquidations before a change of trend.” This view stemmed from the fact that some market participants, after a decline in the price of oil, believed that a high trend could be achieved, while traders took advantage of the lower price.
Macroeconomic Factors /Uptober Predictions
There is several ways that macroeconomic environment affected Bitcoin movements throughout the past several weeks. The jobless claims for the U.S dismissed which indicated that unemployment in the United States was still low and therefore there was strength in the United States labor market. Such favorable economic environment is believed to be conducive for risky assets such as cryptocurrencies.
This data was described as critical by QCP Capital, a prime trading firm that recently included it in its market bulletin for Telegram subscribers. Still, we think this weakness is only short-term, especially with the causality between crypto and American equities stocks being rather obvious. As U.S. equities climb, crypto will likely do the same, QCP said. The firm also noted that the next NFP report might reinforce the strength of the labour market and support risk assets, including Bitcoin.
QCP Capital also forecasted that Bitcoin might also just have a strong uptober, whereas traditionally, BTC has shown positive performance in October. “The geopolitical tensions might have affected Bitcoin during its historically best performing month, but we team thinks of this as a blip, and the ‘Uptober’ rally will prevail.”
Final Take on Bitcoin Price Dip
The Bitcoin price drop under $60K triggered a rally, and exchanges recorded the biggest outflows of BTC since the 2022 bear market. While the long side is still worried that more downsides are possible, the short side sees the opposite and begins to buy to cover for a potential bounce. Hopes that Bitcoin will begin a strong recovery in the coming weeks stems from enabling macroeconomic conditions such as the U.S. labour market data. Whether or not the “Uptober” rally will transpire is still uncertain; what is, however, clear is that the current buying activity shows that trust in Bitcoin remains intact. Keep following TheBITJournal and keep an eye on Bitcoin Prices.
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The price predictions and financial analysis presented on this website are for informational purposes only and do not constitute financial, investment, or trading advice. While we strive to provide accurate and up-to-date information, the volatile nature of cryptocurrency markets means that prices can fluctuate significantly and unpredictably.
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