WFCN –
As the price of Bitcoin reaches $54.2K—an unprecedented increase following the halving—experts are now weighing in on the dip.
The continuous sell-side pressure has sent the BTC/USD pair to three-week lows, according to data from Cointelegraph Markets Pro and TradingView.
Bitcoin has joined the CME Gap, but according to Keith Alan, co-founder of the trading resource Material Indicators, it can only be filled during TradFi trading hours, as stated in his most recent X post on August 4th.
The space between the closing and opening prices on the Bitcoin futures markets run by CME Group was mentioned by Alan.
In order to “fill” these gaps following a weekend, the price of bitcoin often rises or falls.
In his own post on the matter, popular trader Daan Crypto Trades proceeded by saying, “Bitcoin Will be opening with a new CME gap if it trades at its current value.” He also included an explanatory chart.
According to data from CoinGlass, almost 97,000 traders were liquidated in the past 24 hours due to the abrupt market fluctuations, resulting in nearly $200 million in losses for bullish futures bets.
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Long positions in Ethereum (ETH) lost $55 million, while bitcoin (BTC) long positions lost $43 million, according to the statistics.
In light of recent reports on geopolitical tensions in the Middle East and a general decrease in enthusiasm for risky assets like technology stocks, some traders have previously warned that Bitcoin may reach the $55,000 mark.
Another probable explanation for Bitcoin’s decline could be a weaker-than-expected economy.
With the jobless rate reaching 4.3%, the highest level since October 2021, the world’s largest economy may be in a more precarious position than previously thought.
As a result, cryptocurrency prices fell alongside those on Wall Street, according to CryptoPotato.
Some investors, particularly larger ones who often utilize exchange-traded funds (ETFs) to gain exposure to cryptocurrency, have been scared off by rumors of a sluggish US economy and the uncertainties surrounding the policies of the Federal Reserve.
According to earlier estimates, on Friday, the largest outflow of about $240 million occurred from spot Bitcoin ETFs, marking the greatest level seen in around three months.
According to the data, Ethereum ETF withdrawals were negative for the second week in a row.
In light of Bitcoin’s present situation, what are your thoughts?
Will Bitcoin continue to decline?
Alternately, will Bitcoin’s price remain stable or will it rise?