Bitcoin (BTC) Price Decline: Will $75,000 Be the Next Target?
Bitcoin’s price has slipped below $80,000 amidst bearish trends and significant market liquidations. The cryptocurrency now trades at $79,616, with a potential dip to $75,000 suggested by Fibonacci analysis. U.S. ETFs have experienced continued outflows, and large holders have moved significant amounts of Bitcoin recently, indicating volatility. The current market behavior aligns with Wyckoff patterns, highlighting potential price movements.
Bitcoin (BTC) has experienced a decline, dropping below $80,000 as bearish trends persist this weekend. The cryptocurrency has seen significant liquidations, nearly totaling $850 million in the past 24 hours, causing it to price at levels not observed since November 10, 2024. Currently trading at $79,616, Bitcoin reflects a 5.9% intraday decline, indicating a sustained correction and suggesting a latent test of the 50% Fibonacci level around $75,000.
Additionally, U.S. spot Bitcoin ETFs are undergoing considerable outflows, losing approximately $275.83 million on February 27, marking an eight-day outflow streak. However, this decline is less severe compared to outflows witnessed earlier in the week. Bitwise remains the sole ETF with a modest inflow of $17.65 million, while others like ARK and BlackRock witness significant losses including $189.02 million and $53.78 million respectively.
In the last four days, large holders, or “whales,” have moved a remarkable 40,000 BTC, as reported by analyst Ali Martinez. This substantial transfer reflects a decreasing trend in whale holdings, which have fallen from 4.53 million BTC to 4.49 million BTC. Furthermore, Ki Young Ju from CryptoQuant indicates that Bitcoin may be headed for prolonged consolidation, potentially dipping to $75,000 before establishing a trading range between $75,000 and $100,000.
Bitcoin’s current price behavior corresponds with the classical Wyckoff market theory, showcasing a bearish breakdown of essential Fibonacci levels. The daily trend reflects a markdown phase post-distribution, suggesting increased supply pressure that could drive prices lower. Should a bullish reversal occur, immediate resistance will likely manifest at the 61.80% Fibonacci level of approximately $81,855.
The analysis suggests that Bitcoin may continue its downward trajectory, with the potential to reach the $75,000 mark as it grapples with significant liquidations and outflows. The involvement of crypto whales and adherence to Wyckoff patterns indicate underlying volatility in the market. Investors are advised to remain vigilant and consider market indicators before making financial decisions.
Original Source: thecryptobasic.com
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