Technical Analysis of BTC/USD for February 17, 2021

Crypto Industry News:

Glassnode released data revealing Bitcoin miners are accumulating their digital assets while long-term investors are taking a profit.

In January, there was an intensive sale by miners. The Glassnode report shows that when it comes to February, the situation has changed dramatically.

Glassnode analysis shows that the main sellers of Bitcoin during the bull market are miners and long-term investors. According to the company, declining outflows from miners' wallets can be viewed as a pro-growth indicator as miners have either already paid for running costs or amassing coins in response to Tesla's $ 1.5 billion investment in bitcoin:

"This suggests the miners have achieved adequate levels of sales to cover costs. It could also mean that they see Tesla's vote of confidence as an honest reason to hold onto their coins very tightly.

With miners now sticking to their BTC, Glassnode concludes that most of the coins traded in the markets are liquidated by long-term investors.

Bitcoin Average Spent Output Lifespan (ASOL) is an indicator that measures the average age of all issued transactions in days. From his analysis, Glassnode concludes that long-term investors have used reports of Tesla's investments to take profits.

The company also noted that Coin Days Destroyed (CDD), which is a measure of activity that gives more weight to coins that have not been issued for a long time, also indicates that older coins are currently being redistributed. Glassnode concludes that long-term investors have been making profits since October - when BTC exceeded $ 12,000.

Technical Market Outlook:

The BTC/USD pair keeps going up and the next target for Bitcoin is now located at $60,000. In the meantime, the local technical supports are: $45,902 and $43,720. The intraday support is $47,002. However, if the market is out of the main channel and the price is below the level of $43,125 ( overbalance level), then the chance for a deeper correction are high, so please keep an eye on this levels. Please notice, the momentum is now decreasing as the price go up, which might be the beginning for bearish divergence on H4 time frame chart.

Weekly Pivot Points:

WR3 - $65,941

WR2 - $57,841

WR1 - $54,644

Weekly Pivot - $45,671

WS1 - $42,441

WS2 - $34,081

WS3 - $31,183

Trading Recommendations:

The bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $50,000. Any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $41,125 is clearly broken.

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The material has been provided by InstaForex Company - www.instaforex.com

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