Bitcoin Knocks on $70K Level; Bitfinex Hopeful Selling Pressure That Sparked a Correction Is Ending

Bitcoin (BTC) briefly topped $70,000 Monday for the first time in a week before retreating to its familiar trading range, continuing its sideways price action.

The largest crypto by market capitalization recently changed hands at around $69,200, up 2% over the past 24 hours, while Ethereum's ether (ETH) was little changed slightly below $3,800. The broad-market CoinDesk 20 Index gained 1.6% over the past 24 hours.

Bitcoin and the broader crypto market have spent more than two months consolidating since March, when BTC hit a record price above $73,000.

"This correction phase now appears to be nearing an end," Bitfinex analysts said in a Monday market update.

According to the report, selling by long-term holders was a key reason for bitcoin's correction from all-time highs, but blockchain data suggests that these holders have started to re-accumulate BTC for the first time since December 2023.

The number of new bitcoin and ether accumulation addresses has also been growing over the past month, a sign of increasing bullish sentiment despite the price stability, Bitfinex analysts added, citing CryptoQuant data.

Crypto analytics firm Swissblock noted that the $70,000 and $73,000 levels pose significant resistance capping BTC's price. "Short-term pullbacks are being treated as buying opportunities, with the $67,000 level proving to be a reliable support," Swissblock said in a report.

The next week "could be an interesting one to watch" with key inflation data release and Federal Reserve meeting that could fuel volatility in either direction, Joshua Lim, co-founder of crypto derivatives principal trader Arbelos Markets, told CoinDesk.

Read more: Bitcoin Breaks to Low End of Trading Range, but June Data Could Be Next Catalyst