• Advertise
  • Submit a Press Release
NewsBTC
Bitcoin & cryptocurrency news
Crypto.com Logo
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play GamesTry
  • Play Casino GamesTry
  • Free SpinsTry
  • Play FinanceTry
No Result
View All Result
Breaking News: Bitcoin Price Retests $27K Following Fed Rate Decision
  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play GamesTry
  • Play Casino GamesTry
  • Free SpinsTry
  • Play FinanceTry
No Result
View All Result
NewsBTC
No Result
View All Result
Breaking News: Bitcoin Price Retests $27K Following Fed Rate Decision
Bitcoin with two red downwards pointing arrows behind it on top of a crypto chart

Blood In The Streets: Crypto Market Becomes Fearful As Bitcoin Dives

Reynaldo Marquez by Reynaldo Marquez
2 years ago
in Bitcoin
Reading Time: 2 mins read
Advertisement

Making its way up to the higher levels of its current range, Bitcoin records a 5.6% profit in 24 hours. BTC’s price took a heavy loss, as the implementation of its legal tender status in El Salvador became a “buy the rumor, sell the news” event.

At the time of writing, the first cryptocurrency by market cap trades at $46,529 with an 11.8% loss in the 7-day chart.

Bitcoin BTC BTCUSD
BTC with moderate profits in the daily chart. Source: BTCUSD Tradingview

Previous to this event, Bitcoin made a quick move to the $52,000 zone. This moved the Fear & Greed Index back to the green area, as the general sentiment in the market turned bullish.

Don't wait! Jump on this Crypto Deal and get a 150% Welcome Bonus plus 100 Free Spins on your deposit today!
570% up to 12 BTC + 300 Free Spins for new players & 1 BTC in bonuses every day, only at Wild.io. Play Now!

Related Reading | TA: Bitcoin Topside Bias Vulnerable If It Continues To Struggle Below $46K

According to a recent Arcane Research report, the Index has flipped red, back to fear levels once again. Bitcoin has experienced a week of volatility, mostly to the upside, but the violent bearish price action has made investors fearful, as seen below.

Bitcoin BTC BTCUSD
Source: Arcane Research

Arcane Research found that most of the action is taking place in the derivatives sector. The BTC Spot to Futures Volume indicates a decline in the trading volume for the spot market.

BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?

This doesn’t necessarily suggest a rise in the trading volume for futures, but a steady dropped in spot trading over a period of 5 months, as derivatives trading volume remains stable.

Bitcoin BTC BTCUSD
Source: Arcane Research

As NewsBTC reported, much of the recent price action and volatility is related to an increase in over-leverage positions for futures. This correlates with periods of bearish momentum, retail futures traders fuel the liquidation cascade that leaves the crypto market open for downside risk.

Two Possible Scenarios For Bitcoin As Fear Re-Enters The Market

On the other hand, analyst Ben Lilly from Jarvis Labs recently examined Bitcoin’s price action. The cryptocurrency has been trading in a crap-like PA indicating before yesterday’s sudden move to the upside and downside, almost immediately.

This corresponds with an increase in liquidity around those levels. Thus, Ben Lilly argued that market movers or large players attempt to push BTC’s price into a specific direction to grab the liquidity and eventually exhausted.

Related Reading | New To Bitcoin? Learn To Trade Crypto With The NewsBTC Trading Course

The market is currently at that stage, as seen below, “bone dry” out of liquidity. In this case, the analyst recommended trading in the spot market, as derivatives could continue moving without a clear direction.

BTC BTCUSD
Source: The Kingfisher via Ben Lilly

This is the best-case scenario, a sustain crab-like PA for a few weeks, as Bitcoin prepares for another retest of the $50,000 mark. Before that, the market could see another sweep at yesterday’s low:

And this scenario is currently the one we are leaning towards. Meaning we think a retest of $42kish might be in the cards.

The worst-case scenario could occur by the end of this month with a return to BTC’s previous range in the $30,000 mid-area. Ben Lilly said:

This type of price action would be vicious. It will create a lot of liquidity lower very fast. It’s often times known as exit liquidity.

BTC BTCUSD
Late 2020 to 2021 sell-off fractal. Source: Jarvis Labs via Ben Lilly
Tags: bitcoinbtcbtcusd
Tweet123Share196ShareSend
Win up to $1,000,000 in One Spin at CryptoSlots
Reynaldo Marquez

Reynaldo Marquez

Related Posts

Bitcoin And USDT

Quant Points Out Curious Relationship Between USDT Inflows & Bitcoin Price

11 hours ago
Bitcoin

Bitcoin Rally Driven By Record Open Interest In Derivatives Market

12 hours ago
Bitcoin price skyrockets

Bitcoin Climbs Above $28,500, Fed Decision Will Fuel The Rally?

15 hours ago
Bitcoin cryptocurrency

Will QE Drive Bitcoin And Crypto To New All-Time Highs? Fidelity Exec Is Cautious

17 hours ago
Bitcoin Whale

Bitcoin Whale Activity Reaches Highest Weekly Levels Of 2023

19 hours ago
Bitcoin $1 million

Bitcoin To $1 Million? Why Hyperinflation Is Unlikely In The US

22 hours ago

Premium Partners

Play Finance

Top Casinos

BitStarz

BitStarz

Review · Visit
Punt Casino

Punt Casino

Review · Visit
CryptoSlots

CryptoSlots

Review · Visit
mBit

mBit

Review · Visit

Sportsbooks

1xBit

1xBit

Review · Visit

TMS Network (TMSN) Presale Success Stirs Markets While Experts Advise To Be Cautious With Conflux (CFX) And Ravencoin (RVN)

March 23, 2023

Solana (SOL) Price Prediction; TMS Network ICO (TMSN) And Avalanche (AVAX) Shines

March 23, 2023

Cryptocurrencies To Get Before April 2023 Ends: Conflux (CFX), yearn.finance (YFI) and TMS Network (TMSN)

March 23, 2023

ScalingX and Buidlbox Partner to Host “The Hunt for X” Zero-Knowledge Tech Hackathon

March 22, 2023

Why is Avorak AI Pumping? – a Guide To AI Cryptos, Fetch.ai, SingularityNET, And More

March 22, 2023

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Links

Crypto Prices from Nomics

Cryptocurrency news

  • Bitcoin
  • Ethereum
  • Ripple
  • Chainlink
  • Cardano
  • EOS
  • Tezos

Technical Analysis

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Ripple (XRP)
  • Chainlink (LINK)
  • Cardano (ADA)
  • Tezos (XTZ)

Company

  • Advertising
  • Comments Policy
  • Privacy Center
  • Sitemap
  • About Us
  • Contact

© 2022 NewsBTC. All Rights Reserved.

  • News
    • Bitcoin
    • Ethereum
    • Cardano
    • Dogecoin
    • Ripple
    • DeFi
    • NFT
    • Sponsored
    • Press Releases
  • Analysis
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Cardano (ADA)
    • Chainlink (LINK)
    • Litecoin (LTC)
    • Tezos (XTZ)
    • Zcash (ZEC)
    • EOS
    • YearnFinance (YFI)
  • Trading Course
  • Directory
    • Crypto Businesses
    • Bitcoin Brokers
    • Casinos
    • Sportsbooks
  • Events
  • Play Games
  • Play Casino Games
  • Free Spins
  • Play Finance

© 2022 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.