Bitcoin risks ‘swift’ $23K dive after BTC price loses 11% in August
Bitcoin (BTC) is headed for a long-term support retest, data suggests, after BTC price action fell into the August monthly close.
Reversing gains seen last week, BTC/USD is back below $26,000 as of Sep. 1, data from Cointelegraph Markets Pro and TradingView shows.
Market participants had seen cause for bullishness into the close, with Bitcoin holding a key long-term trendline and preserving $27,000.
A decision by the United States Securities and Exchange Commission (SEC) to delay a slew of Bitcoin spot price exchange-traded fund (ETF) applications forced a rethink, with Bitcoin shedding $1,000 over just two hourly candles.
Now, observers are concerned that even current levels may fail to hold the market up for long.
“On-chain data suggests that $BTC lacks strong support below the $25,400 mark,” popular trader Ali told X (formerly Twitter) subscribers.
Ali uploaded a chart of the UTXO realized price distribution (URPD) metric from on-chain analytics firm Glassnode.
This tracks the price at which the current set of transaction outputs was created and functions as a roadmap for likely price support and resistance levels.
A breakdown to $23,000 would not come as a surprise to some, with that target already on the radar for various traders and analysts.
Continuing, on-chain monitoring resource Material Indicators delivered a similarly grim picture for BTC/USD on daily (D), weekly (W) and even monthly (M) timeframes.
Related: Bitcoin metric with ‘100% long hit rate’ predicts $23K BTC price floor
Using signals from one of its proprietary trading tools, Trend Precognition, Material Indicators advised that $24,750 needed to hold for bulls to have a chance at clinching a rebound.
“If price moves and holds below $25,350 the W signal will
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