Bitcoin ‘full breakout’ not here yet as BTC price spends month at $30K

Market Analysis

Bitcoin (BTC) refused to give up $30,000 at the July 17 Wall Street open as observers placed bets on a step lower next.

BTC/USD 1-hour chart. Source: TradingView

Bitcoin traders line up downside targets

Data from Cointelegraph Markets Pro and TradingView followed what one analyst called “boring” BTC price action into the new trading week.

After an equally quiet weekend, BTC/USD showed no signs of volatility amid a lack of catalysts for change across risk assets.

“The market is in flux, and both camps are fighting for dominance,” on-chain monitoring resource Material Indicators wrote in part of its latest analysis, referring to a battle between Bitcoin bulls and bears.

“Everytime bears start to get some momentum, bulls replenish support at $30k. IMO, still too soon to declare a confirmed bull breakout, quite simply, because we haven’t even had a legit test of resistance. Time for patience and discipline.”

BTC/USD 1-week chart with 200-week moving average. Source: TradingView

Material Indicators co-founder, Keith Alan, suggested that should $30,000 be lost, Bitcoin could find support at key trend lines such as the 200-week moving average at $27,000. This chimed with existing predictions from popular traders Cointelegraph reported on earlier.

Traders Skew and Daan Crypto Trades meanwhile noted a “heavy divergence” between spot and derivatives markets, with sellers apt to get the upper hand short term.

“Clear bias for me here,” trader CJ continued alongside a chart with a short-term relief target between $30,000 and $31,000.

“Spike into inefficiency and reject – will expect range lows at least, if not breakdown from this range. Reclaim inefficiency (and thus, April high) then we have a solid recovery and we are so back again.”

Bad news for Bitcoin dominance?

Elsewhere, concerns over Bitcoin’s retreating crypto market dominance played on the minds of market participants.

Related: Will Bitcoin catch up? BTC price was $40K when the dollar was previously this weak

Popular trader Jibon called the dip below 50% dominance “not good” for BTC, while in its latest market update, trading firm QCP Capital tied U.S. regulatory events to even lower dominance to come.

Bitcoin dominance, it wrote “is likely to break its recent uptrend and move lower again, at least until the BTC physical ETF decision, or when macro factors take over again.”

Last week’s legal rebuke of the Securities and Exchange Commission (SEC) over allegations that sales of altcoin XRP (XRP) represented unregistered securities was a mixed blessing for investors, it said.

Bitcoin, which QCP described as “being set up as the ‘anti-security’ coin,” could stand to lose to altcoins thanks to U.S. investor confidence returning.

Bitcoin market cap dominance chart. Source: TradingView

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This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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