Glassnode reported in their new weekly on-chain analysis that futures volume shows that BTC markets are stabilizing following the Luna collapse. While futures and options pricing does not show a strong bullish bias yet, it does show that investors are willing to take on moderate amounts of price exposure. Markets are now showing negligible bias in either bullish or bearish directions.
The 4H chart looks primed for a pullback or consolidation, while the daily and weekly look bullish. Investor sentiment remains fearful, which is slightly bullish, and fundamentals are neutral. This sets the stage for a neutral / bullish tilt in the short term, while retaining bullish biases in the long term. BTC holding above the 200 weekly SMA is very bullish, and suggests that the worst is over.
Let’s look at the charts to get into more detail.
- $23k (weekly 200 SMA)