Bitcoin faces ‘uphill battle’ despite 35% rise from $23,800 bottom

Bitcoin (bitcoin) gained new gains overnight before May 31, as the monthly close looked set to lock in a loss of about 15%.

BTC/USD 1 hour candle chart (Bitstamp). Source: TradingView

Asking price over $33,000

data from Cointelegraph Market Pro and Transaction view BTC/USD was shown to consolidate again after a fresh break, rising to $32,200 on Bitstamp.

This pair thus limits a the next day More bullish momentum, but that didn’t impress analysts, who generally viewed the moves as untrustworthy.

Those doubts continued on the day, with discussions over whether the recent gains amounted to a “dead cat rally.”

“BTC is poised for bigger moves. Before you jump in, remember that cryptocurrencies like to squeeze shorts and trap longs,” on-chain analytics resource Material Indicators wrote In one of several tweets in the past 24 hours.

“You can reduce risk by waiting for a confirmed breakout or false breakout. FireCharts shows where liquidity is in the order book. Closes every Tuesday.”

Meanwhile, order book data from major exchange Binance shows a sell-off of $33,500 to $61 million at the time of writing.

BTC/USD order book data (Binance).Source: Material Metrics

Crypto’s popular Twitter account, Il Capo, further continued the bearish stance, while acknowledging that the rally was the opposite of previous predictions.

Researcher account Venturefounder Add to BTC/USD needs to reclaim the 200-day moving average near $43,000 to “recover a new bull market,” calling such a target an “uphill battle.”

whale waiting for the moment

At the same time, amid the low volume that accompanied the rally, more concerns were centered on whales.

related: ‘Super Bullish Signal’ or ‘A Real Crash?’ 5 Things You Need to Know About Bitcoin This Week

As noted by Caue Oliveira, an analyst at Brazilian analyst firm BlockTrends, Bitcoin’s largest entity has yet to show confidence in the recent lows as a macro bottom line.

“The whales/institutions have not deployed all their firepower in the market!” he concluded in a twitter thread.

“These large entities continue to reduce activity, betting their cautious approach to the global situation. A closer look at their actions can provide a real signal of a real reversal.”

The accompanying chart shows a sharp drop in whale activity in May.

Bitcoin whale wallet activity chart.Source: Caue Oliveira/Twitter

Oliveira went on to say that activity on institutional platform Coinbase Pro likewise suggests that most investors are on the sidelines.

“At the moment, I don’t see any evidence that these players are really ‘buying the dip’,” he added.

Whalemap, a whale-focused monitoring resource, further argues that without a break above the 200-week moving average, Bitcoin has yet to enter a true macro bottom.

As of May 31, the moving average was around $22,200.

The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk and you should do your own research when making a decision.