Here’s why Bitcoin is struggling to hit a new high, according to IntoTheBlock

Bitcoin (BTC) has been witnessing a weak streak in recent weeks, hovering between $55,000 and $65,000. The leading cryptocurrency has struggled to return to the $70,000 level, let alone make a new all-time high (ATH).

IntoTheBlock analysts said that BTC has been unsuccessful in its attempts to rise to a new peak as a large number of addresses acquired the asset between $61,700 and $70,500.

Holders with loss in a range of $61.7K to $70.5K

Almost seven million addresses bought BTC between $61,700 and $70,500. At bitcoin’s current trading price of $56,500, every trader who acquired the asset in that range is currently at a loss.

IntoTheBlock explained that as long as a large number of traders have losses in any range, BTC will face constant selling pressure as its price approaches the aforementioned levels, because many market participants will look to reach the balance This means that between $61,700 and $70,500, many traders could unload their assets as they try to minimize their losses.

For BTC to absorb the selling pressure, break the trend and jump to new highs, the cryptocurrency would need a significant boost. Unfortunately, BTC has a history of bearish Septembers; I probably wouldn’t see the momentum needed to get through this month.

A historically bearish month

Six of the seven last September closed in the red, with an average decline of 4.5%. BTC started this month in the red, dropping from $60,000 to $55,000. Data from CoinMarketCap shows that the asset has fallen 5% in the past seven days.

Although the crypto market is still in a bullish phase, analysts believe that several factors could determine the trajectory of bitcoin’s price as the weeks progress. Some of these are the post-halving consolidation, anxiety around the US presidential election, the governments $33 billion BTC oversupply, and recovered assets still being distributed to creditors of defunct crypto exchange Mt. enjoy

Although the month looks challenging for BTC, the cryptocurrency is witnessing positive movements on the chain. The number of wallets with more than 100 BTC just reached a 17-month high, driven by a significant increase in whale holdings. This means that Bitcoin whales are buying the dip and exceeding their deposit in anticipation of an upcoming rally in Q4 2024.

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