Bitcoin Price Outlook: Could BTC Dip to $75,000 or Hold at $69,000?
Bitcoin has dropped over 3% recently, facing potential decline towards $75,000 as it approaches critical support levels. Traders express concern regarding liquidation levels and the risk of further decreases. However, historical mechanisms suggest a strong support level at $69,000, indicating a high probability of recovery.
Bitcoin (BTC) continues to face downward pressure, with a 3% drop reported as of March 9, suggesting potential risks of a decline towards $75,000. Market analysts question the extent of this weakening trend as various data sources, including Cointelegraph Markets Pro and TradingView, indicate BTC/USD is moving towards $83,000, a critical threshold. The focus now shifts to how low BTC can go before finding support amidst increasing liquidity on exchange order books.
Traders are keenly observing exchange order books as Bitcoin approaches the closure of the weekly candle. The climate has become ripe for potential liquidations, with current data revealing that long positions are under strain as BTC/USD languishes at approximately $83,000. “Liquidation map says: Whales hunting stops!” cautioned notable trader TheKingfisher, advising followers to take notice of specific liquidation levels for managing stop losses amid these fluctuations.
The question arising among traders is whether Bitcoin will experience further declines, potentially retesting critical support levels from February, which were close to $78,000. Prominent trader Mikybull Crypto expressed that a retest of the 50-week simple moving average (SMA) is quite feasible. This moving average has not been breached since March 2023, and BTC last engaged with it in September.
In relation to Bitcoin’s fundamental price support, researchers assert that the historical price mechanism suggests a firm base around $69,000. As indicated by Cointelegraph, this level represents a significant correction from the current prices. The “Lowest Price Forward” tool indicates a 95% likelihood that Bitcoin will rebound from this crucial support level, showcasing its reliability in previous price predictions, particularly since it has consistently ruled out revisiting $10,000 since September 2020.
To summarize, Bitcoin is experiencing notable price pressure with increased chances of a drop toward $75,000. Traders are wary of liquidation levels that could escalate losses. Nonetheless, analyses suggest that the $69,000 threshold presents a likely robust support level, with historical trends indicating a strong chance of recovering from this point. As always, market participants are advised to approach their investments judiciously and conduct thorough research before making decisions.
Original Source: cointelegraph.com
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