Bitcoin’s price at $64,000 is facing increasing uncertainty, with liquidation levels becoming a prominent concern. On April 25th, the price of Bitcoin experienced a sharp decline due to geopolitical news, resulting in some bulls losing up to 5% of their positions.
The previous day, Bitcoin’s price closed at $63,575 and then dropped further to $44,231 due to escalating tensions in the Middle East. According to data from CoinGlass, the liquidity of Bitcoin’s spot price on cryptocurrency exchanges increased on both sides, suggesting that investors and banks were influencing the current price.
Interestingly, a significant accumulation of bids was observed at a price of around $64,765, with an additional asking price of $67,700. However, the support at $63,500, based on past data, proved to be relatively weak. It is worth noting that Bitcoin filled a second gap in CME futures during its recent downside. Nevertheless, Daan Crypto Trades emphasizes the importance of healthy empirical funding rates, stating that they would rather wait for a positive market movement than rush into a long position.
Despite the uncertainty, there is cautious optimism in the market. The short-term forecast suggests that there will be consolidation in the spot price rather than a significant upside. Additionally, US-based spot Bitcoin ETFs experienced net outflows on April 24, following the trend of the Grayscale Bitcoin Trust fund. However, there is hope as spot Bitcoin ETFs are set to start trading in Hong Kong on April 30, marking another milestone for Bitcoin in the institutional space this year.
