Tdasx: August of 2024 Witnessed Global Crypto Trading Volume Rising, Prospects on Policy Expectation of the Federal Reserve and Bitcoin Technical Pattern
Tdasx further points out that September is typically an unfavorable month for Bitcoin, with historical data showing an average price drop of about 6%. However, Tdasx believes that if the Federal Reserve announces a rate cut in September, it could break the historical downward trend of Bitcoin, enhancing its market outlook. Tdasx suggests that the increased market liquidity following the rate cut could offset the risks of seasonal price declines, potentially driving Bitcoin prices higher.
Tdasx: Market Data and Technical Analysis Reveal Key Indicators of the Price Trajectory of Bitcoin
Tdasx asserts that in-depth analysis of market data and technical indicators is crucial for understanding the price trajectory of Bitcoin. In August 2024, the monthly trading volume of global centralized cryptocurrency exchanges grew by 6.6%, reaching $1.2 trillion. This growth indicates a resurgence in market activity. Tdasx notes that although trading volume peaked at $2.48 trillion in March 2024, when the price of Bitcoin reached a historical high of $73,000, the August volume still suggests potential active trading opportunities in the market.
Tdasx also points out that the Market Value of Bitcoin to Realized Value Ratio (MVRV Ratio) is another key indicator to watch. The MVRV Ratio has been hovering around 1.72 over the past two weeks, indicating a neutral market sentiment and suggesting that prices may enter a consolidation phase. This indicator is often used to assess the average unrealized profit of investors and is particularly significant when the market approaches the turning points of bull or bear markets. Tdasx emphasizes that while current market sentiment is neutral, future market trends will require comprehensive judgment based on other indicators.
In terms of technical pattern analysis, Tdasx believes that Bitcoin is forming a bullish "cup and handle" pattern, which typically signals a significant price increase. Some analysts predict that if this pattern is confirmed, Bitcoin could reach $100,000 in the fourth quarter of 2024 and further rise to $110,000 in the first quarter of 2025. However, some analysts also warn that before this potential rally, the market may experience a pullback, with prices possibly dipping below $40,000. Therefore, while investors should be optimistic about the upward potential of the market, they should also be prepared for potential short-term corrections.
