- Bitcoin experienced a momentum shift as the RSI fell below the neutral 50 level.
- OBV failed to climb to a previous low, indicating increasing selling pressure.
Bitcoin [BTC] recorded rapid losses in the last 24 hours. In particular, on April 2, there was a 4.9% drop in one hour, resulting in millions of dollars in liquidations.
The price collapsed under a pocket of liquidity and the forced selling sent prices lower.
The long-term outlook for BTC remained optimistic as ETF inflows were extremely strong. AMBCrypto reported that metrics for BTC were bearish and prices declined hours later.
Will Bitcoin Fall to Swing Low at $60.7K?
Source: BTC/USDT on TradingView
On the 12-hour chart, the market structure was still bullish. A decline below $60.7K will reverse the structure bearishly. The Fibonacci retracement levels highlighted $55.5K and $59.4K as critical levels.
There was a 4.2% decline in the last 36 hours. On April 2, $62.2 million worth of Bitcoin long liquidations occurred. The H12 RSI fell below the neutral level of 50, signaling a shift in momentum.
OBV trended lower in March and was still below a key level. This showed that selling pressure has prevailed in recent weeks and further losses could follow.
The $64.5K level is an interesting level this week as it is a short-term support level. However, technical indicators and price action on the shorter time frame showed that Bitcoin may not see a strong uptrend for some time.
Bitcoin could fall into the next liquidity pool down south
Source: Hyblock
The $68K liquidation level was wiped out and a liquidation cascade ensued, driving BTC prices to $66.4K.
Read Bitcoins [BTC] Price prediction 2024-25
Prices could rise to liquidate late, heavily leveraged bears, but a significant pocket of liquidity was at $64,000.
From $62.8K to $64K, there was a decent concentration of liquidation levels. Bitcoin’s proximity to this region suggested that it could penetrate this zone next. Therefore, traders should be prepared for further losses.
Disclaimer: The information presented does not constitute financial, investment, trading or other advice and reflects solely the opinion of the author.
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