Bitcoin (BTC) fought to regain lost ground at the April 19 Wall Street open as traders called for calm on the day’s downside.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
“Unusual” spot sell triggers BTC price suspicion
Data from Cointelegraph Markets Pro and TradingView monitored BTC/USD as it crawled toward $29,500 on Bitstamp.
The pair had shed $1,000 in minutes earlier on the day as over $200 million in long liquidations accompanied a return below $30,000.
Reactions subsequently linked the price action, which originated in a 16,000-BTC market sell on Binance, to a potential forthcoming news event, this ultimately failing to materialize at the time of writing.
$BTC
Either a new local low here if $29K is held & no FUD is dropped later
However, 16K BTC is unusual size to be market sold solely from Binance spot usually the kind of sale happens before bad news comes out.
if a nothing burger event; could see an omega short squeeze…
— Skew Δ (@52kskew) April 19, 2023
Market participants thus remained level-headed, arguing that important support levels were still present amid a healthy retracement.
“A move to 28k is normal/healthy,” popular trader Credible Crypto wrote in part of Twitter commentary.
#Bitcoin
Watch and know your levels to stay ahead. Manage your risk around them.
Still holding the important repair and breakout above $29,000. pic.twitter.com/wsNOaLSJUW
— Jordan (@Jordan__Lindsey) April 19, 2023
Fellow trader Crypto Tony was more cautious, hinting that he expected further downside to ensue next.
“Got a feeling many longing now are going to regret it on Bitcoin,” he tweeted.
“Personally am still out of a position currently. Rather wait for some solid PA to form before rushing in.”
Trader and analyst Rekt Capital, meanwhile, eyed $28,800 as the key level to watch on weekly timeframes.
#BTC has relief rallied into the Higher High,
Though $BTC Daily Closed above the Higher High, price wasn’t able to reclaim it as support
~$28800 (orange) is the key support to hold on the Weekly#Crypto #Bitcoin https://t.co/yUiLODm95h pic.twitter.com/KQ4gHHKTuy
— Rekt Capital (@rektcapital) April 19, 2023
Caleb Franzen, senior market analyst at Cubic Analytics, had his sights on slightly lower numbers, pointing to a potential support retest area on CME Group Bitcoin futures markets.
At around $27,000, this was a “gap” in the futures market left over from mid-2022, which the spot price only managed to “fill” in recent weeks.
“CME futures still haven’t retested this important support & resistance zone, but got very close this morning,” he commented.
“I think bulls should be happy to get an opportunity to reload in this range, if/when we get there. No need for panic/concern yet.”CME Group Bitcoin futures annotated chart. Source: Caleb Franzen/Twitter
Bitcoin bulls running out of time?
Looking to upside potential, monitoring resource Material Indicators suggested that there was solid potential for a fiery reclaim of $30,000 and beyond if bulls were able to regain control.
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Everything hinged on $29,500, it argued on the day — exactly the focus level for BTC/USD at the time of writing.
“BTC flushed about $32M out of the range and left a black hole of upside illiquidity,” it commented alongside a print of buy and sell liquidity on the Binance order book.
“If bulls can reclaim $29.5k before ask liquidity returns, there is very little friction between here and the mid $30s.”BTC/USD order book data (Binance). Source: Material Indicators/Twitter
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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.
