- Bitcoin saw a shift in momentum as the RSI fell below neutral 50.
- The OBV was unable to climb to a previous low, indicating rising selling pressure.
Bitcoin [BTC] noted swift losses in the past 24 hours. In particular, a 4.9% drop occurred within an hour on the 2nd of April and witnessed millions of dollars in liquidations.
The price smashed below a pocket of liquidity, and the forced selling drove prices lower.
The long-term outlook for BTC remained bullish as the ETF inflows were extremely strong. AMBCrypto reported that the metrics for BTC were bearish, and prices slid lower hours later.
Will Bitcoin fall to the swing low at $60.7k?
Source: BTC/USDT on TradingView
On the 12-hour chart, the market structure was still bullish. A fall below $60.7k will flip the structure bearishly. The Fibonacci retracement levels highlighted the $55.5k and $59.4k as critical levels.
The past 36 hours saw a 4.2% drop. The 2nd of April saw $62.2 million worth of long liquidations on Bitcoin. The H12 RSI fell below neutral 50 and signaled a shift in momentum.
The OBV trended downward in March and was still below a key level. This showed that selling pressure has been dominant in recent weeks, and more losses could follow.
The $64.5k level is a level of interest this week, as it is a short-term support level. Yet, technical indicators and the lower timeframe price action showed Bitcoin might not trend upward strongly for some time.
Bitcoin could fall to the next pool of liquidity to the south
Source: Hyblock
The liquidation levels at $68k were wiped out, and a liquidation cascade followed that pushed BTC prices to $66.4k.
Read Bitcoin’s [BTC] Price Prediction 2024-25
Prices could bounce higher to liquidate the late, high-leveraged bears, but a significant pocket of liquidity was at $64k.
From $62.8k to $64k, there was a decent concentration of liquidation levels. Bitcoin’s proximity to this region indicated that it could sweep this zone next. Hence, traders should be prepared for more losses.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
