Bitcoin (BTC) surged above the crucial $69,000 level as the market rebound gained momentum on March 25. BTC/USD experienced rapid gains and reached $69,463 on Bitstamp, marking a nearly 3% increase for the day. This helped Bitcoin recover from the losses it had suffered in the previous week.
Despite reaching the previous cycle’s peak of $69,000, this level continued to act as a significant psychological barrier for Bitcoin. Popular trader Skew emphasized the importance of closing above $69,000 with bullish momentum for the price to continue its upward trend. However, Skew also pointed out that there was significant buy liquidity only at $60,000, and major resistance was present above the current all-time highs near $74,000. The price area of $74,000 was considered significant both in terms of supply and psychological impact.
Keith Alan, co-founder of trading resource Material Indicators, expressed a more cautious perspective. He warned that the current BTC price recovery could be undermined by a lack of nearby bid liquidity. Alan highlighted the monthly close as a potential area of volatility and suggested that a retracement could still occur despite his overall bullish bias.
In terms of liquidation risk, monitoring resource CoinGlass reported that $50 million worth of BTC shorts were liquidated within a 24-hour period. Additionally, if the price breaks above $70,600, it could trigger $500 million in short leverage.
It is important to note that this article does not provide investment advice or recommendations. Readers should conduct their own research and analysis before making any investment decisions.