Bitcoin: No more support levels left – What lies below $59.4K?

• Bitcoin has a key stage at $59.4k from each the technical and liquidity standpoints
• The one-sided sentiment within the futures market may see late bears trapped shortly

Bitcoin [BTC] noticed a droop in demand and outflow from ETFs, which strongly recommended {that a} bigger value correction was due for the crypto market.

Some ETF platforms noticed zero stream days, however this was regular for trade traded in any sector.

For the fourth time since late February, Bitcoin costs approached the help zone at $60k. The technical indicators recommended that the bulls won’t reach holding on this time.

The demand zone and liquidity at $60k

Supply: BTC/USDT on TradingView

The patrons have tenaciously held on to the $59.2k-$61k zone prior to now seven weeks. Throughout this time, the OBV had fashioned a help, marked in orange.

Nevertheless, the latest promoting quantity drove the OBV beneath this key stage.

This was an early sign that costs have been more likely to drop decrease and that the $60k help zone won’t be defended this time. The RSI underlined agency bearish momentum.

Beneath the $59.4k Fibonacci help stage, $55.5k and $50.5k are the subsequent larger timeframe areas of curiosity.

Due to this fact, if we see a droop beneath $60k this week, buyers and merchants needs to be ready for additional losses.

Brief-term liquidation ranges favor a sweep of this stage earlier than a bullish reversal

Supply: Hyblock

The cumulative liquidation ranges delta was damaging, highlighting that quick liquidation ranges vastly outnumbered the lengthy liquidation ranges.

Since costs are drawn to liquidity pockets, a transfer upward was favored.

With that mentioned, there was a $342 million liquidation cluster at $59.4k. Its confluence with the Fib stage meant {that a} transfer to the $59k stage to comb these lengthy liquidation ranges was possible.

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Thereafter, Bitcoin costs may surge larger to gather the liquidity to the north. Nevertheless, we have now seen that the promoting strain was intense.

A bounce from $59.4k was not a assure in these situations, regardless of the lopsided cumulative liq ranges delta.

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