Price Analysis 7/22: BTC, ETH, BNB, XRP, ADA, SOL, DOGE, DOT, MATIC, AVAX

Traders are still buying BTC and major altcoins on every dip, but selling near overhead resistance could be a sign that the price action will remain limited to the short-term range.

Price analysis

In a downtrend, when the markets are not reacting negatively to bearish news, it is a sign that the sell-off may have reached exhaustion. Reports that electric vehicle maker Tesla dumped 75% of its Bitcoin (BTC) holdings in the second quarter caused only a small gap as the lower levels attracted strong buying from the bulls.

Tesla was not the only institution to sell its Bitcoin. Arcane Research analyst Vetle Lunde pointed out in a Twitter thread that major institutions have sold 236,237 BTC since May 10.

Encouragingly, even after huge institutional selloffs and the unfavorable macro environment, Bitcoin has held up quite well.

Daily performance of the cryptocurrency market. Source: Coin360

The current bear market allows new traders to enter at lower levels. A report by Boston Consulting Group, Bitget, and Foresight Ventures shows that only 0.3% of individual wealth is parked in crypto compared to 25% in stocks. This shows that crypto is still in the early stages of adoption compared to traditional markets.

Could Bitcoin and major altcoins extend their recovery in the short term? Let's start...