Bitcoin fell by 7% in June, a different story in July

Bitcoin reclaimed the $63K mark in the first trading session in July despite its uneventful performance in June

Olumide Adesina•Monday, July 1, 2024•2 min read

Bitcoin reclaimed the $63K mark in the first trading session in July despite its uneventful performance in June.

This raises the question of whether the current drop is transitory or the bull market has ended. Bitcoin’s price fell as much as 6.96% last month and has historically averaged a decline of 0.35% in June.

Bitcoin

An environment of uncertainty worldwide contributed to the decline in Bitcoin in June. Investors’ fears are mounting because of the market’s erratic fluctuations and conflicting economic signals. The volatility of Bitcoin reflects this anxiety and emphasizes how crucial it is to conduct in-depth market research and have a well-thought-out investment plan to navigate these unsettling times.

About $8.5 billion in Bitcoin is anticipated to be repaid to creditors by Mt. Gox at the start of this week, which could intensify selling pressure in the Bitcoin market. Though only $4 billion of these repayments are expected to hit the spot Bitcoin market, some analysts think the impact of these repayments may not be as severe as many investors fear.

The daily chart shows that the price of Bitcoin has been falling and has repeatedly failed to break above the $75K barrier zone. The price is currently held above the crucial $60K barrier, but the $65K support has also been lost.

Bitcoin price dropped below the $60K support level a few days ago, though it’s a different story in July according to the 4-hour chart. This is a classic example of phony breakthrough behavior, and it may point to a short-term rise toward the $65K mark.

If $60K falls, the 200-day moving average, now roughly $57K, would support the market. However, if Bitcoin remains above its 200-day moving average, the trend is still bullish overall. However, the RSI displays readings below 50%, indicating that the momentum is still in the seller’s favor. Thus, a decline below the $60K mark is still conceivable.

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ABOUT THE AUTHOR See More

Olumide Adesina

Financial Market Writer

Olumide Adesina is a French-born Nigerian financial writer. He tracks, analyzes, and reports changes in financial markets with over 15 years of working experience in investment trading.