Bitcoin is down about 11% in the last week. The data shows a surge in interest from speculators as whales rush to sell. According to analysts, BTC must stay above $39,400 in order not to drop to $30,000.
“Leading crypto Bitcoin in vital support”
Bitcoin is causing trouble as several big whales leave the network and traders continue to accumulate long positions. Still, the future price action of the leading crypto is dependent on its ability to stay above key support.
However, analysts state that Bitcoin may face more losses after reaching a key point. As we mentioned in the news of Kriptokoin.com, the leading cryptocurrency saw its price drop by about 11%, losing more than 4,000 points last week. Analysts note that the drop has pushed BTC into a critical support area that has weakened over time.
“Bitcoin could rise to $50,000 based on price history”
On Binance Futures, the BTC-USDT Long/Short Ratio continues to rise and hit 3.03 on April 13. About 75.2% of all accounts on the world’s largest crypto derivatives exchange by trading volume are net-long in Bitcoin.
Source: Binance On the other hand, traders remain hopeful about Bitcoin’s future price action. Optimism is high among traders as Bitcoin (BTC) remains at the lower boundary of a parallel channel formed on the daily chart in mid-January, according to analysts.
Price history shows that every time Bitcoin reaches this support level, the channel tends to rebound to the middle or upper trendline. Analysts predict that in a similar price move, the leading cryptocurrency could rise to $45,000 or even $50,000.
Source: TradingView “If BTC dips below this level, it could create a liquidation waterfall”
However, analysts remind that increased confidence among traders can also be considered a negative sign . More importantly, they point out, as long positions continue to accumulate, it will create conditions for a long squeeze.
Such a pessimistic view is further confirmed by looking at the behavior of whales. On-chain data shows that the number of addresses on the network holding more than 10,000 BTC has decreased by more than 4.60% in the past four days.
In addition, at least four large whales sold or redistributed their tokens in this short period of time. While the increase in downward pressure may seem insignificant at first glance, each of these addresses got rid of more than $400 million in Bitcoin.
Source: Glassnode Therefore, analysts emphasize that it is necessary to pay close attention to the lower limit of the channel, which is $ 39,400. Analysts note that a decisive daily candle near this vital demand level could create a liquidation waterfall that sends Bitcoin further down. According to analysts, if this happens, BTC will then try to find support at around $35,000 or even $30,000.
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