Analyst Expects Massive Liquidations in Bitcoin Futures

Bitcoin (BTC) price has barely recovered from the collapse in momentum seen over the past few days.

However, the cryptocurrency appears to be at risk of further decline due to bullish rather than bearish investor sentiment.

Bitcoin faces a problem

The price of Bitcoin fell from $62,000 to $53,300, shocking the crypto market and killing many bullish dreams. The futures market saw long liquidations of $263 million in three days.

This is the second largest liquidation in the last two weeks, with the previous high being three months ago in April. Typically, such large liquidations calm investors and force them to step back and let the market cool.

Liquidation of Bitcoin Long Positions. Source: Coinglass

However, BTC holders seem to disagree with this view. The decline is believed to be due to the impact of Federal Reserve Chairman Jerome Powell’s bearish speech earlier this week. As such, investors are expecting a quick recovery and are ready to take advantage of it.

Analyst Willy Woo highlighted this in his explanation of the difference between buying futures and buying spot. He pointed out that the former leads to a bearish environment and said that this could lead to further losses.

According to the Bitcoin Open Value Oscillator, there are still about half a million long contracts open in the futures market. If the price of Bitcoin falls further, these long contracts could be liquidated. This would lead to an extended period of bearish trend for BTC.

Bitcoin Opening Price Oscillator. Source: Willy Woo

BTC Price Prediction: Pattern Check

Bitcoin, which was $56,961 at the time of writing, is stabilizing after it nearly fell to $53,300 yesterday. The cryptocurrency has yet to make the expected 17% loss that occurred due to the double top formation four months ago.

This forecast is targeting a drop to $50,900, which will lead to massive long liquidations as mentioned above. If BTC loses its $55,000 support, this will become more likely.

Bitcoin Price Analysis. Source: TradingView

On the other hand, if Bitcoin price can bounce off $55,000 and move back to $58,800 support, a recovery could begin. This would allow a rally to $60,000 to disprove the bearish thesis.

Leave a Reply

Your email address will not be published. Required fields are marked *

Best Exchanges
Buy, trade, and hold 600+ cryptocurrencies on Binance
Buy, trade, and hold 450+ cryptocurrencies on ByBit
Buy, trade, and hold 150+ cryptocurrencies on Kucoin
Buy, trade, and hold 100+ cryptocurrencies on BitFinex 
Buy, trade, and hold 150+ cryptocurrencies on CoinBase

Guru Investing is an independent source of information about investing , not controlled by any broker. All our reviews and guides are created honestly, according to the best knowledge and judgement of the members of our independent expert team; however, they are intended for informative purposes only and should not be construed as, nor relied upon as, legal advice. You should always make sure that you meet all regulatory requirements before making any financial operations . Copyright ©2024 Email for contact [email protected] kashmiri girls sex jayasex desi bhabi xxx xlnindia 1st time sex video たかはししょうこ動画 真正中出し3本番 彩乃なな sex film sexy film xnxx indian teens
ano nga ba ang pangarap hello heart episode 3 reshma hot saree images xvidies com bihar chudai heroine photo hot dasixx ileana d'cruz hot photoshoot hindi movi
www sxe vidoes boops sucking dehati fuck chuk chuk rail gujaratisexvidio probinsyano october 18 2021 full episode ang probinsyano july 14 2022 قصص سكس كرتون سكس بنات تخينة