Bitcoin [BTC] manages to float above $20K despite recent liquidations and heavy outflows

ambcrypto.com:

If you have been closely watching the crypto, or even invested in it, chances are that you are wondering whether the latest bear cycle is over. The truth is that the market remains unpredictable especially in the long-term. Despite this, here are some opinions and observations will help you to better understand the current market state.

We recently witnessed heavy liquidations in the Bitcoin [BTC] space. Some investment companies that dabbled in Bitcoin, such as Celsius went bankrupt during the latest crash. The bear market liquidated many highly leveraged positions. Companies such as Tesla that had recently invested in BTC dumped their holdings.

— Lark Davis (@TheCryptoLark) July 23, 2022

Despite the heavy outflows, Bitcoin still managed to promptly recover above $20,000. The recovery demonstrated Bitcoin’s strength despite being stress tested against highly volatile and unfavorable market conditions. Could this outcome be a sign that the market is ready for a bigger recovery?

A look at some metrics may help provide a clearer picture of BTC’s current position. For example, addresses holding more than 100 BTC have drastically reduced their selloff. The number of such addresses increased substantially since mid-June, thus supporting Bitcoin’s bullish performance.

Source: Glassnode

A slight drop in the same metric in the last few days suggests the likelihood that increased selling pressure may prevent more upside in the short-term. BTC balances on exchanges have been all over the place during the month but outflows and inflows have relatively balanced out. However, the total addresses