Bitcoin Price Could Crash to $63,000 - Here's Why
The cryptocurrency space is quite volatile, even if the big holders are active, and Bitcoin continues to be in a downtrend, hovering around the $66,000 level.
According to information published by CryptoQuant, the inflow of BTC to exchanges has increased, which is due to a rise in the cost of Bitcoin .
Information from CryptoQuant shows that BTC costs increased significantly for wallets held between 1-3 months compared to those held between 3-6 and 6-12 months. Nearly 40% of the tokens sent to exchanges over the weekend came from wallets in the 3-6 month range, while another 20% came from wallets in the 6-12 month range, and the rest were mixed.
This is expected to add to the selling pressure on the stock markets. Thus, analysts suggest that this could lead to a sharp rise in BTC prices in the short term, followed by an eventual decline that could lead to a market crash.
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Why Bitcoin is a better investment than goldWell-known crypto analyst Michael van de Pope noted that for quite some time now, the price of Bitcoin has remained in a narrow range of $57,000 - $73,000. He thinks BTC will sink further this week, but expects support around the $63,000-$64,500 levels.
# Bitcoin remains stuck between $57K-73K and I expect it to continue falling in the first part of the week.
My personal area of support is between $63-64.5K. That area should hold to me. pic.twitter.com/JZkeiWzJyv
- Michaël van de Poppe (@CryptoMichNL) June 17, 2024
A bullish divergence is seen here as the price struggles to break above $66,000. The bulls need to regain control and push prices into this range for the positive trend to resume.
Martinez emphasized , that Binance is at high risk of liquidation if Bitcoin reaches $67,450. According to his estimation, such an event could liquidate positions worth about $19.50 million, thus highlighting the high volatility of cryptocurrencies.
Bitcoin price movements depend on the balance between whale activity and selling pressure, which is becoming increasingly evident. BTC's near future remains uncertain due to increased spending by medium-term holders as well as potential liquidations, making it important for investors and analysts to closely monitor its short-term movements.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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