Is Bitcoin’s rally to $65K in jeopardy due to miner sell pressure?

Bitcoin’s path to $65K: Will miner sell pressure stall the rally?

Bitcoin [BTC] has showcased a remarkable surge in bullish momentum over the past couple of weeks. Initially struggling to break above the $60,000 mark, the cryptocurrency has now shattered that resistance level and soared even higher.

Currently, as of writing, the price of 1 BTC stands at $63,404, marking an impressive 18.35% rally in just a fortnight.

As September nears its end, Bitcoin is poised to conclude the month on a positive note if it manages to hold its current levels. Nevertheless, it is likely to face some hindrances if it aims to breach the significant $65,000 resistance zone.

The Significance of the $65,000 Threshold for Bitcoin

The price action of BTC since March has shaped a bullish flag pattern, hinting at a potential breakout in the cards. The current juncture appears ripe for such a development.

A convincing move past the $65,000 mark could signal the end of the lower highs trend witnessed in recent months, potentially paving the way for a fresh surge into uncharted price territory.

The recent announcement of a rate cut could serve as the requisite catalyst, injecting the market with the liquidity needed to propel another round of bullish sentiment.

Will the Bulls Sustain Bitcoin’s Momentum?

Recent findings by Looksonchain revealed that five miner wallets active since 2009 have executed BTC transfers, sparking concerns of sell pressure. The transactions involved around 250 BTC, valued at over $15 million.

In the past 24 hours, Bitcoin miner reserves have dwindled to a 5-week low of 1.81 million BTC.

An uptick in Bitcoin miner reserves would indicate faith in its upward potential. However, the current trend suggests otherwise, coinciding with prevailing apprehension on the major exchange.

There has been a notable decline in net long positions in the past day, underlining diminishing confidence in Bitcoin’s immediate growth prospects.

While net short positions remain higher than net longs, they too display signs of retreat, hinting at lingering uncertainty regarding a possible retracement.

Some Bitcoin holders interpret the recent rally as a harbinger of a broader uptrend in the making, prompting a shift from swing trading to a long-term HODL approach.

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