BTC price hit a 2-week high as volatility clears Bitcoin sell orders
Bitcoin (BTC) saw fresh volatility on Wall Street on March 27 as analysts said short liquidity is now long overdue.
Bitcoin takes sell-side liquidation before a new dip
Data from Cointelegraph Markets Pro and TradingView showed BTC's price action hitting a two-week high – $71,754 on Bitstamp.
A sudden correction continued over 4% with BTC/USD down $1,300 in minutes as bulls struggled to support the key $69,000.
Recent data covering US Bitcoin Exchange Traded Funds (ETFs) has been encouraging.
After netting more than $400 million a day earlier, Wall Street trading began to withdraw from Grayscale Bitcoin Trust (GBTC) at a rate of 1,300 BTC ($91 million).
The figures were uploaded to X (formerly Twitter) by popular trader Daan Crypto Trades from crypto intelligence firm Arkham.
“We're actually seeing some high volatility,” added another post, noting that they've filled BTC sell orders at a high level in the area.
Liquidation of short BTC positions has been a major topic of discussion for market watchers right now. The latest data from on-chain monitoring resource CoinGlass shows that bids are approaching $69,000 – the market should reverse.
In addition, colleague CrypNuevo hopes to attack the last group of shorts at the recent highs of $74,000.
“Medium term: liquidity on both sides but more upside liquidity at $74.1k is more likely because they are coming from current prices,” explains X's post in part.
$69,000 remains a key point on the BTC price map
With $68,500 back in play at the time of writing, popular trader Crypto Ed was among those calling for calm.
Related: Bitcoin ‘sell-side liquidity crisis' sees BTC move for first time since 2010
That price, in its latest YouTube video released that day, said it would make a suitable long entry and not take a major corrective action.
“I'm not sure if this next step is really big – maybe $73,000,” he said, pointing to where BTC/USD will go next.
A further correction may be set before attacking all-time highs.
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.
