coinedition.com
Miles, the host of the Crypto Banter YouTube channel, has analyzed the recent Bitcoin bullish behavior. The renowned crypto analyst used information from centralized exchanges and on-chain data to determine the reasons behind the recent spike in Bitcoin’s price and that of other cryptocurrencies.
According to Miles, Bitcoin’s recent rally is consistent with expectations from technical indicators. He noted that the determinant factor was the bounce off the $25,200 support established in June when BlackRock publicized plans to apply for a Spot Bitcoin ETF. Miles observed that Bitcoin entered a new range between $25,000 and $27,000.
Miles used the open interest indicator to reveal some of the “behind the scenes” activities of Bitcoin whales. Open interest indicates the Futures positioning of the market for both long and short positions. According to Miles, he observed the highest open interest value in a single day for Bitcoin during the latest rally. He thinks the development resulted from insiders, presumably some whales positioning themselves for a bullish market.
Bitcoin retraced from the rally in the later part of Monday. Miles thinks the unfavorable news relating to Binance and its auditors was behind the price drop. According to Miles, it generated significant FUD, with many crypto users fearing that Binance might become insolvent.
Bitcoin has resumed the upward movement and climbed above Monday’s high. Having opened the day at $26,766, Bitcoin’s price rose to $27,459 but retraced to trade for $27,163 at the time of writing. The flagship crypto’s rally dragged other coins along in the rally, with some of them showing potential for more rallies.
Some of the altcoins Miles thinks would ride the current wave with Bitcoin include Stacks (STX), Zcash (ZEC), and Bitcoin Cash (BCH). He considers these Bitcoin proxy players as investments that could offer more returns in the short to medium term.