Bitcoin is stable at spot rates but has struggled to shake off the bearish momentum of the past two trading days. Looking at the pattern on the daily chart, there are pockets of weakness. However, this could change if the bulls continue to push, rejecting the lower lows and reclaiming $70,000 and even $72,000.
The Trump Effect? Recent BTC Investors Up 3% as Prices Rise from $57,000 to $69,000
As the community tracks the price performance, other electrifying events are emerging that reinforce the belief that the coin could be preparing for higher highs. Citing the on-chain dataOne analyst noted that the price augment from $57,000 to $69,000 attracted modern investors.
During this time, modern investors grew by 3%, which is a significant augment, as modern users grew by only 4% after the FTX crash. Interestingly, modern investors are willing to take advantage of the exposure at this rate, suggesting that that they are confident about the future.
Bitcoin’s rise from $57,000 to its recent high of $69,000 coincides with key events in the U.S. On July 14, Donald Trump, who is aiming to oust Joe Biden from power in November, was shot in a failed assassination attempt. The failure sent Trump’s chances of regaining the presidency skyrocketing.
Last weekend, Trump delivered the keynote address at the Bitcoin conference in Nashville. The former president reiterated his support for the world’s most valuable cryptocurrency. Trump assured the public that he would fire current U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler and hire someone ready to deliver a cryptocurrency future the country would lead.
Trump has also said his administration would consider making BTC a strategic reserve. So far, Senator Cynthia Lummis has drafted legislation to require the Treasury to buy 200,000 BTC per year for five years. The fact that the former president has changed his mind and now supports cryptocurrencies may explain why more users are coming forward to promote themselves.
Bitcoin: The Whale Trial?
In addition to Trump’s endorsement and the influx of modern users, on-chain data shows that average monthly transfer volumes remain high. As of July 31, the analyst he said The average monthly transfer volume over the last 18 months has ranged from 700,000 to 1 million BTC.
While this number suggests that whales are in the spotlight and dominating the events, the average transfer volume is lower. It has crashed since mid-2022, peaking at 6 million BTC during the Luna crash, before stabilizing over the past 18 months.
Featured image from Canva, Chart from TradingView
