After touching the psychological price of $20K recently, selling pressure has emerged on Bitcoin (BTC), causing the price to drop below $18,800. Additionally, trading volume hit a three-month high.

Santiment Market Knowledge Provider explained:

“Trading volume has heated up for the crypto markets, and especially for Bitcoin. During the big drop on Tuesday, BTC hit its highest trading level since June 14. Volume has been gradually increasing throughout the year since bottoming out in late January.”

Source: Santiment

The leading cryptocurrency was down 7.32% to hit $18,744 during intraday trading, according to CoinMarketCap.

Market analyst Michael van de Poppe believes that Bitcoin should maintain a zone between $18,600 and $18,800 to avoid further declines. The he pointed:

“Back in the Bitcoin range, through which levels still hold. On the upside, breaking and flipping $19.3K and preferably $19.5K triggers a continuation towards $22.5K. brackets for holding; $18.6K-18.8K range.”

Source: TradingView/MichaelvandePoppe

According to data from Santiment, profit-taking trends emerged after Bitcoin broke above $20,000. The provider of market knowledge indicated:

“Apparently a lot of merchants were waiting for the $20k threshold to start selling their bags. When Bitcoin crossed back above this psychological level, massive profit-taking ensued. Now we find out if those eager to sell will regret their decisions.”

Source: Santiment

With Bitcoin trading volume recently exploding against the British pound (GBP), it remains to be seen how the major cryptocurrencies fare in the short term.

James Butterfill, head of research at CoinShares, stated:

“Bitcoin volumes against GBP were $881 million yesterday ($70 million on average), when a fiat currency is threatened, investors start to favor Bitcoin.”

Source: JamesButterfill

Meanwhile, interest in BTC spiked recently, causing social dominance to surge to a 2-month high, Blockchain.News reported.

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