Bitcoin: Will the muted price action extend?

Disclaimer: The knowledge introduced doesn’t represent monetary, funding, buying and selling, or different kinds of recommendation and is solely the author’s opinion.

• BTC consolidated latest losses above 50% Fib stage ($26.7k).
• Bullish sentiment improved after the 12 October value dip. 

Bitcoin’s [BTC] short-term restoration confronted a key roadblock at $27k. The king coin’s sharp reversal from $28.2k led to a 5% worth loss primarily based on a press time worth of $26.8k within the early Asian session on 15 October. 

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A latest AMBCrypto value evaluation of BTC on 13 October confirmed that an prolonged worth drop to the confluence of range-low/bullish zone at $25k might present a shopping for alternative. 

However a spike briefly liquidation at a 50% Fib stage of $26.7k since 12 October delayed the above projection. 

Will Bitcoin sellers drive it decrease?

Supply: BTC/USDT on TradingView

The prolonged BTC value drop on 11 October left a value imbalance at $26.9k – $27.2k (pink). The world has been an important short-term hurdle up to now few days. 

In addition to, the confluence of the value imbalance space with 50-EMA (Exponential Shifting Common) and the 61.8% Fib stage ($27.1k) might entice late sellers within the space. In that case, a crack under 50% Fib stage ($26.7k) might set BTC to $26.3k or the range-low space of $25k. 

Nonetheless, a convincing bullish transfer above $27.2k might verify a short-term restoration.

In the meantime, BTC’s Spot market demand improved, as proven by growing OBV. Nonetheless, the wavering shopping for strain and restricted capital inflows demonstrated by RSI and CMF laboring under key thresholds. It might undermine bullish efforts past $27.2k within the quick time period. 

Late BTC sellers punished

Supply: Hyblock Capital [BTC Liquidation Level]

Late sellers had been punished, as indicated by the liquidation information from Hyblock Capital. The damaging Cumulative Liquidation Ranges Delta (CLLD), between 11-15 October, confirmed extra quick positions had been liquidated over the identical interval. The damaging CLLD additionally implied a gentle bullish bias. 

Learn Bitcoin [BTC] Worth Prediction 2023-24

In addition to, the liquidity was on the upside, as proven by the liquidation profile (proper facet of the chart). The important thing liquidity ranges had been at $26.9k, $27.2k, $27.8k, and $27.98k (areas marked by bigger circles).

Nonetheless, the $27.2k stage was of curiosity due to its confluence with 50-EMA, 61.8% Fib stage and liquidation stage. So, BTC’s short-term restoration might face headwinds round $27k.