Martinez pointed out:
“Bitcoin printed a second consecutive weekly candlestick close above the 200-week MA. This week, BTC needs to remain trading above $23,000 to keep this crucial level as support. Notice that all previous BTC bear markets since 2014 ended around the 200-week MA.”
The 200 WMA is a long-term indicator that shows a market’s bearish or bullish trend. Therefore, Martinez believes Bitcoin should close above $23,000 this week to hold this significant support level.
The leading cryptocurrency was hovering around $23,073 during intraday trading, according to CoinMarketCap.
On the other hand, Bitcoin’s open interest has been experiencing an uptick. Bloomberg analyst Mike McGlone stated:
“If CME-listed futures are a guide, the maturation process of Bitcoin and Ethereum is progressing well, with price implications. Bitcoin open interest is steadily trending upward, Ether futures’ 90-day volume is at an all-time high, and the curve is tilting toward earning income.”
These bullish signs and the fact that BTC deposits on exchanges reached a 2-year low seem to be changing the narrative.
Low crypto deposits on exchanges illustrate a hodling culture because coins are mostly held in cold storage or digital wallets for future purposes other than speculation.
Meanwhile, inflows into crypto investment products have been experiencing an uptrend, Blockchain.News reported.
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