Bitcoin (BTC) was unable to surpass the $65,000 mark following the opening of Wall Street on June 18, with analysts anticipating a further decline in BTC price.
The 1-hour chart for BTC/USD showed that moving averages were collapsing as the price of BTC dropped below $65,000. Data from Cointelegraph Markets Pro and TradingView indicated that BTC/USD was struggling to hold onto support near crucial trendlines. The price of Bitcoin fell by another 3% on that day, extending a downtrend that had led to losses of up to $7,900 since June 9.
With several support levels now in focus, market participants began to express concerns about the lack of conviction in the current market conditions. Keith Alan, co-founder of trading resource Material Indicators, highlighted that multiple moving averages had become problematic after the spot price slipped below them. He mentioned setting a trailing stop loss before leaving town to safeguard profits in case of a Bitcoin dump, which occurred when the price dropped to $64,000.
According to a report from Cointelegraph, the next level for a retest was the short-term holder cost basis, which was just below $64,000 on June 18. William Clemente, co-founder of crypto research firm Reflexivity, emphasized the importance of this level, stating that BTC approaching the short-term holders’ cost basis around $63.8k could indicate a trend reversal.
Analyzing order book activity, trader Daan Crypto Trades warned of “spoofing” tactics, where large liquidity blocks were posted and removed to potentially manipulate the price of BTC. As BTC/USD decreased after the Wall Street open, Daan Crypto Trades acknowledged that many of these orders had been filled.
Meanwhile, altcoins suffered significant losses as Bitcoin experienced a downturn. QCP Capital, a trading firm, suggested that the lack of news was causing both Bitcoin and altcoins to struggle. Despite the market downturn, QCP advised a cautious approach, suggesting that investors wait and observe the “boring” market conditions.
The total altcoin market cap dropped by 7.5% to $219.06 billion on that day. It is important to note that this article does not provide investment advice, and readers should conduct their own research before making any financial decisions.