Bitcoin(BTC), chose compression overThe Easter weekend, sparing nervous tradersA fresh dive below $40,000.
Derivatives tradersTake no chances
DataFrom Cointelegraph Markets Pro TradingView showed BTC/USD acting in a narrowing range with $40,700 as its ceiling Saturday and Sunday.
TheThe holiday period began with little activity for the pair. United StatesEquity markets are off Good FridayOnwards, crypto will be able to avoid correlation-based volatility
With MondayA non-trading day is also available BitcoinFour days of trading “out-of-hours”, was scheduled. WhileThat meant that stock correlation was less important. However, other forces were at work to stir sentiment.
MarketLiquidity remained lower than on workdays. Some feared that sudden moves could be exacerbated by thinner order books.
Analyzing derivatives moves overWeekend Deribit InsightsThe research arm of the trading platform is called. DeribitFlagged liquidity is one factor that influences real-time investor decisions
5) SoWhile this could be a bearish wager, it is likely to be protective of AUM.
ButWhy now?
PerhapsThey are concerned about Spot/derivate Market Manipulation overA weekend of inevitability
PerhapsJust for you over the next week against falls pic.twitter.com/spNXiurWqr— Deribit Insights (@DeribitInsights) April 16, 2022
A zoom-out by a popular trader and commentator PentoshiThe latter offered a more cautious perspective.
ForHe believes that a reclaim at levels significantly higher than the current trading range on short timeframes would be sufficient to increase bullishness about what is next for BTC/USD.
“44.5k is the most important spot for bullish momentum at the moment. 42k 1D Resistance”He summarizedTo TwitterFollowers SaturdayAlong with an explanation chart.
“BelowBias is for re-distribution, and another leg down. ThinkBuyers need to act quickly.”
100 days until “capitulation”?
Pentoshi was meanwhile not the only voice predicting long-term gain but short-term pain for Bitcoin — a narrative, which had gathered momentum throughout 2022.
Related: Bitcoin clings to $40K support as focus returns to BTC price ‘supercycle’
AnalyzingMarket movements Kevin SvensonPopular social media user, known for his bullish sentiments about BTC, warned that current chart behaviour was mirroring the period just before Bitcoin’sLate 2018 bear market crash
WhileThe event came after a long period at lower lows throughout this year. BitcoinHe noted that the 2022 lows have been higher than in 2022. butIt wouldn’t take long for the tables to turn, and for “capitulation” to occur.
“TheHe said that the difference between a breakdown and higher lows is significant right now.
DiscussingWhy? #BitcoinMarket psychology mirrors $6K precapitulation.
Long Term – Bullish.
Medium Term- I see the negative risk. pic.twitter.com/reAn6qHg0p— Kevin Svenson (@KevinSvenson_) April 16, 2022
SvensonThis was added Bitcoin”Getting there” was referring to following a historical trend of putting in a macro-low around 800 days after each block subsidies halving. The last halving — on May 11, 2020 — was 706 days ago.
TheThese views and opinions are solely the author’s and do not necessarily reflect those of Cointelegraph.com. EveryInvesting and trading involve riskYou should do your research before making a decision.
