Bitcoin Trades Within Descending Channel as CME Gap Gets Filled

Bitcoin (BTC) is currently moving within a descending channel a persistent bearish structure that began on May 22, when it hit a high of $112,000. After reaching this level, the price fell about 10% to around $100,000. It then made a lower high at $110,000 on June 10, which was followed by a roughly 10% correction, taking it slightly below $100,000 during market reactions tied to the U.S.-Iran conflict . As of June 30, bitcoin reached around $109,000 before pulling back about 3%, but has since recovered to nearly $108,000. The recent dips appear to be getting shallower. During the latest dip, there was a CME futures gap around $106,000, which was “filled” as bitcoin dropped to around $105,000. A CME gap occurs when the Chicago Mercantile Exchange closes for the weekend or overnight and bitcoin’s price moves significantly during that time, leaving a price range on the CME chart where no trading took place, which markets often tend to revisit to “fill” the gap. According to Glassnode data , bitcoin’s pullbacks remain relatively shallow and the price is still trading above its 1-month realized price, which represents the average price investors paid over the past 30 days. In the past 24 hours, investors have an average cost basis of $105,600, while the one-week group sits at $106,300. These short-term holder cohorts are still in profit, which supports market momentum, although continued profit-taking could make it more challenging for bitcoin to reach new all-time highs. Read more: Bitcoin CME Futures Premium Slides, Suggests Waning Institutional Appetite

Source: CoinDesk