Key points:
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Bitcoin can keep the Bull market range in play if it reclaims $108,400 in the coming hours, analysis says.
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Volatility adds to the weekly close as thin order books see $200 million in 24-hour liquidation.
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Altcoin futures show how traders have lost since the last bear market bottom.
Bitcoin (BTC) teasing weekly volatility near Sunday as price approached a key retracement level.
The trader sees a lot of BTC price volatility to come
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD hitting $108,260 local high.
After a Painful end to tradfi trading week That saw bitcoin sink below the $104,000 mark, Sell-Side Pressure appeared to cool early what X Trader Daan Crypto Trades called An “interesting week.”
“Volatility is bound to be high here because of the thin books that have posted this massive market,” he wrote.
Looking at the liquidation data, Daan’s crypto trades predicted That volatility will continue “temporarily.”
“The books are thin. Especially after the massive liquidation event last week,” he added.
“This combined with the weekend’s price action and many traders being emotional makes for quite a volatile move to the low time periods.”
The latest numbers from the tracking source Coinglass Place the total liquid crypto for 24 hours to the time of writing more than $ 200 million.
Both bid and ask liquidity are condensed around the price in the exchange books at the time before the weekly close.
“Bitcoin is not far from securing a positive weekly close above $108381 to maintain the historical weekly demand area (orange), despite the downside wicks below it,” Trader and Analyst Rekt Capital said While uploading a weekly chart to X.
Altcoin futures explain bearish crypto sentiment
Relief from further downside was enough to lift crypto market sentiment out of the “intense fear” zone, per data from Crypto Fear & Greed Index.
Related: Bitcoin Price ‘Lines Up Micely’ For $95k Drop Next Despite Bullish RSI Data
The index measured 29/100 Sunday, up seven points from six-month lows seen the day before.
Commenting, crypto trader and analyst Luke Martin, host of the stacks podcast, flagged altcoins as a major drag on the overall market situation.
In a X post Saturday, Martin uploaded a chart showing the performance of Binance’s Top 50 Altcoin Futures. The chart was created by Chris Jack, Chief Growth Officer of Algorithmic Crypto Trading Company Robuxio.
“This chart perfectly illustrates why sentiment is bearish/tired even though $BTC is still above $100k,” he argued.
“A basket of the top 50 altcoins now trading below where they will be post-FTX crash in 2022.”
Martin defined the Implosion of crypto exchange ftx.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should do their own research when making decisions.
