Fun

Bitcoin traders risk-off as BTC price falls to $62K — Is a generational bottom approaching?

News Feed - 2024-08-03 05:08:18

Nancy Lubale3 hours agoBitcoin traders risk-off as BTC price falls to $62K — Is a generational bottom approaching?Bitcoin traders anticipate a potential price drop below $60,000. Will dip buyers show up?6482 Total views2 Total sharesListen to article 0:00Market UpdateOwn this piece of crypto historyCollect this article as NFTCOINTELEGRAPH IN YOUR SOCIAL FEEDFollow ourSubscribe onBitcoin (BTC) dropped by $2,300 one hour after the Wall Street opening on Aug. 2, reaching $62,368 on Coinbase. Bitcoin price has seen little change, rising 1% over the last 24 hours to trade at $63,252.BTC/USD hourly chart. Source: TradingView


This sell-off has seen the price lose key support levels: the 50-day exponential moving average (EMA) at $64,300 and the 100-day EMA at $63,670.


“We got the #Bitcoin sweep I was waiting for and a nice reclaim of the range,” declared Bitcoin analyst AlphaBTC in an Aug. 2 post on X.


The analyst was referring to Bitcoin’s price action since July 30, when it turned away from highs of $66,996 to set a swing low just below $63,000 on Aug. 2.


AlphaBTC said that the price needed to hold the range low at $63,300 for it to increase the chance of retesting the range high at $67,000.“Losing 63k now would be really bad!”BTC/USD chart. Source:AlphaBTC


Fellow analyst Crypto Rover shared similar sentiments, saying that market participants would be in a bad situation “if #Bitcoin loses the $63k support.”


In an earlier X post, AlphaBTC presented two scenarios. The first is a bullish case where Bitcoin would confirm a triple bottom structure “around the 38.2 Fib level” at $63,450. This would see the pioneer cryptocurrency embark on a V-shaped recovery toward $66,800.


The second is a bearish case involving a breakdown of the support at $63,000, swiftly moving the price down to $61,000.“Lose the level and fail to reclaim it quickly, and we could see low 61ks once again.”BTC/USD chart. Source:AlphaBTC


With the current price action, AlphaBTC set the short-term bearish target for Bitcoin at $61,000.


Other analysts believe that Bitcoin’s price could see deeper corrections, setting downward targets between $58,000 and $55,000.


“Bitcoin’s current condition is technically bearish and supposed to decline to $58,000 or below,” independent trader Emperor Keo Xplus wrote in an Aug. 2 post on X.


Pseudonymous analyst Crypto Patel set the target lower, saying that $63,000 was an important level for the bulls.“If #Bitcoin drops below it, the price could fall to under $55,000.”The 200-day EMA provides the last line of defense for Bitcoin’s price


Data from Cointelegraph Markets Pro and TradingView shows Bitcoin’s price action has formed a series of higher lows on the daily chart to stay above the ascending trendline. Bitcoin bulls are required to hold the price above this level to avoid further losses.


The appearance of a long lower wick on the Aug. 1 candlestick on the daily chart implied the importance of the $65,000 level for buyers.BTC/USD daily chart. Source:TradingView


However, if bulls lose the said support, they may retreat toward the 200-day EMA, which appears to be the last line of defense for BTC at $59,558.


Related:Bitcoin traders warn of tough Q3 as Nikkei echoes ‘Black Monday’ 1987


Popular analyst Caleb Frazen agreed with this outlook, saying that the 200-day EMA was a significant barrier for Bitcoin on its way down.“If you think that #Bitcoin is going to stay in a bull market environment, then this is the level at which price is likely to rebound and make new highs.”


Data from IntoTheBlock, whose In/Out of the Money Around Price (IOMAP) model, also reinforces this level’s importance for Bitcoin. It sits just below the $60,755–$62,640 price range, where approximately 499,470 BTC were previously bought by about 1.54 million addresses.Bitcoin IOMAP chart. Source: IntoTheBlock


This suggests that high demand-side liquidity from this cohort of investors could push BTC’s price past the resistance provided by the 100- and 50-day EMAs at $63,663 and $64,268, respectively, ending the sell-off to initiate a price recovery.


If this happens, according to popular analyst Moustache, BTC’s price below $63,000 could be the last time we see it.


Moustache explained that the BTC price was nurturing an inverse head-and-shoulders pattern on the 15-minute, which suggests a trend reversal to the upside.Source:Moustache


The inverse head-and-shoulders pattern forms a reversal setup and includes an “inverted” head and shoulders, with the left and right shoulders upside down below the neckline.


If the pattern continues, Bitcoin’s price could embark on a massive upward breakout toward its next key price level of $65,000 before potentially retesting to the range high of $65,300.


This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.# Bitcoin# Cryptocurrencies# Bitcoin Price# Markets# Market UpdateAdd reaction

News Feed

Bitcoin Mining Operations Continue to Expand Amid the Crypto Winter, While Converting ‘Wasted Gas to Energy at Scale’
Bitcoin Mining Operations Continue to Expand Amid the Crypto Winter, While Converting "Wasted Gas to Energy at Scale" The bitcoin mining industry continues to expand as companies a
Fidelity’s Crypto Branch to Increase Staff by 70%, President Sees ‘More Interest in Ether’
Fidelity"s Crypto Branch to Increase Staff by 70%, President Sees "More Interest in Ether" According to Tom Jessop, president of Fidelity Digital Assets, the com
Turner Wright2 hours agoUS authorities monitor China-linked Bitcoin miners amid national security concerns: ReportA crypto mining operation near a Microsoft facility that supported the Pentagon was reportedly under scrut
Ray Salmond6 hours agoThe future of BTC mining and the Bitcoin halvingThis week’s episode of Market Talks discusses the future of BTC mining and how miners can maximize profits, as well as the upcoming Bitcoin halving
Shiba Inu Builds Momentum: ‘Monster’ Price Move Coming—Analyst
Este artículo también está disponible en español. Shiba Inu (SHIB) appears to be laying the groundwork for a big rally, as market observers focus on a potential vertical
Jesse Coghlan6 hours agoSBF denies witness tampering amid leak of ex-girlfriend’s diaryLawyers for Sam Bankman-Fried claim that his alleged sharing of Caroline Ellison"s diary with the New York Times does not amount to
Arijit Sarkar17 minutes agoUS FSC Chairman eyes regulatory clarity for crypto, stablecoin ecosystemsThe upcoming FCA meeting is aimed at providing regulatory clarity for the digital asset ecosystem — cryptocurrencies,
Price analysis 4/19: BTC, ETH, BNB, SOL, XRP, DOGE, TON, ADA, AVAX, SHIB
Rakesh Upadhyay6 hours agoPrice analysis 4/19: BTC, ETH, BNB, SOL, XRP, DOGE, TON, ADA, AVAX, SHIBBitcoin remains stuck inside a range after traders aggressively purchased the dip, indicating solid demand at lower levels
Binance Obtains In-principle Approval to Operate With Cryptocurrencies in Kazakhstan
Binance Obtains In-principle Approval to Operate With Cryptocurrencies in Kazakhstan Crypto exchange Binance has been granted preliminary approval to offer trading and custody serv
Ciaran Lyons6 hours agoMarathon Digital blames weather conditions for mining 21% less Bitcoin in JuneThe transition from spring to summer in Texas has been a major factor in Marathon Digital’s 21% decline in Bitcoin mi
Tether freezes $5.2 million in USDT linked to phishing scams
Prashant Jha13 minutes agoTether freezes $5.2 million in USDT linked to phishing scamsSince its inception, Tether has frozen over $1 billion worth of assets linked to illicit activities on demand from law enforcement age
Amaka Nwaokocha12 hours agoBinance faces calls for ban by Nigerian Bureau De Change associationGwadabe reportedly emphasized that Binance trading has increasingly established itself as a central point for both the Invest