Pre Open US - Bitcoin 15 Aug 2023

Bitcoin miners are accumulating BTC as they prepare for the upcoming halving event in April 2024. This accumulation trend began after a drop in Bitcoin's price from $30,000 and is seen as a protective measure against potential resistance from buyers. The halving, which occurs every four years, cuts miners' rewards in half to slow new BTC creation and potentially increase its value. This upcoming halving will reduce rewards from 6.25 BTC to 3.125 BTC per block. Miners' improved liquidity positions, partly due to the excitement around BTC exchange-traded funds (ETFs), have contributed to this accumulation. Institutional crypto investors are exercising caution due to the sluggish market and reduced trading volumes. Bitcoin funds have seen significant outflows, while institutional investors have stopped shorting BTC, opting to lock in profits.

From a technical perspective, on the daily chart, the price action remains attached to the resistance level of 29790. A genuine breach of the current resistance could propel the price towards 31000, while a selloff might lead BTC back to the 100-day moving average on the daily chart.