Bitcoin analysts doubt BTC price rally as $23K target gains popularity
Bitcoin (BTC) drifted toward $27,000 after the Aug. 30 Wall Street open as the dust settled on digital asset manager Grayscale’s legal victory.
Data from Cointelegraph Markets Pro and TradingView showed BTC price cooling volatility which began the day prior, when a positive verdict for Grayscale against United States regulators sparked 7.5% gains.
Bitcoin managed $28,143 on Bitstamp — its highest in almost two weeks — before returning to consolidate lower.
Despite closing the daily candle above two key moving averages, these had yet to return as definitive intraday support, and on the day, analysts were cautious.
In a Quicktake post for on-chain analytics platform CryptoQuant, contributor MAC_D was among those noting that the Grayscale move had originated on derivatives exchanges.
Despite funding rates remaining fairly neutral, there was a clear absence of genuine buyer interest on spot markets.
“First, looking at the 'Funding Rate', it is not an extreme value, so it is not expected to cause a sharp price correction,” he wrote.
Additional data showed trading volumes still below those seen during upticks earlier in 2023.
“Of course, there is a tendency for prices to change significantly even with small trading volumes because the overall liquidity in the cryptocurrency market has decreased,” MAC_D continued.
Equally conservative on the long-term outlook was popular trader and analyst Rekt Capital.
Related: GBTC Bitcoin ‘discount’ may be gone by 2024 as share price gains 17%
In his latest YouTube update, Rekt Capital suggested that BTC/USD might be printing a copycat move to that seen in 2021 around its current all-time high.
While no new BTC price peak is expected now, the recent tops around $31,000 on the weekly chart and
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