Why is Bitcoin Sideways...

▲ Bitcoin (BTC)

Cryptocurrency giant Bitcoin (BTC) has been trading sideways in a range around $5,500 for the past three weeks, and as of June 14, it was trading at around $66,700 on CoinMarketCap.

Since May 21, the price has been oscillating between resistance at $72,000 and support at $66,350. It has repeatedly tried to break above the all-time high of around $73,800, but has so far failed.

"The main reasons bitcoin's price has been moving sideways in recent weeks are the 'cash-and-carry arbitrage strategy', the stability of whale holdings, and technical patterns," Cointelegraph reports.

<"The cash-and-carry strategy involves buying Bitcoin in the spot market and simultaneously selling it in the futures market, and the combination of long positions in U.S.-based Bitcoin ETFs and short positions in CME futures has stabilized the market price. In particular, the holdings of large Bitcoin whales have offset each other, creating a balance between supply and demand."

The analysis concludes.

"From a technical perspective, Bitcoin is in the handle formation phase of a cup-and-handle pattern, which suggests that the price could turn bullish if it breaks above resistance at around $71,500. Currently, Bitcoin's daily relative strength index (RSI) is at 48.43, which is in the neutral zone, indicating a stalemate between bears and bulls over the market's direction. If the cup-and-handle pattern is successfully formed, Bitcoin's price could rise to around $88,000 in July, but a retreat from the resistance level risks a decline to the current support level of $67,000."

"If the cup-and-handle pattern is successfully formed, Bitcoin's price could rise to around $88,000 in July.

Meanwhile, CryptoQuant X reports that "miner selling has been on the rise as BTC prices have been trading sideways between $69,000 and $71,000. In the last 9 days, 3.000 BTC moved from mining pools to Binance, pushing the BTC price down to $66,000. Over-the-counter (OTC) selling has also surged. On the 10th, miners sold 1,200 BTC via OTC, the highest daily volume in more than two months. Marathon Digital, for example, sold 1,400 BTC, or 8% of its holdings, in June. The selling spree is driven by a sharp drop in miner revenue after the halving. Daily miner revenue after the halving is around $35 million, a 55% plunge from the peak in March ($78 million). The decline in miner revenues and the high hashrate suggests that BTC price is near a bottom."