- November 22, 2023
- Posted by: [email protected]
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The Bitcoin market has found itself in a familiar position, reminiscent of its Q1 breakout, as whale entities exert influence on the cryptocurrency’s price dynamics. As of November 21, Bitcoin made attempts to reach its 18-month highs, encountering resistance at $37,770 and currently maintaining a trading range around $37,400. This price action closely mirrors the market behavior observed in the second week of the month, suggesting parallels with the Q1 period when Bitcoin initiated a recovery from post-FTX lows.
Material Indicators, an on-chain monitoring resource, brought attention to intriguing order book data, hinting at the potential return of a significant liquidity provider playfully referred to as the “Notorious B.I.D.” The bid support, observed at around $33,000, occurred seven times in the last 30 days, echoing a pattern seen earlier in the year. While the identity of this entity remains unconfirmed, the recurrence of this behavior raises suspicions and draws comparisons to previous market movements.
A snapshot of BTC/USDT liquidity revealed sellers positioned around and just below the $38,000 mark. Notably, the most active order class among whales was in the range of $1 million to $10 million, with other cohorts reducing their exposure throughout the week. Material Indicators co-founder Keith Alan suggested that the entities behind the buy orders could be more organized and strategic than typical large-volume speculators.
Despite the current range-bound movement, market sentiment is mixed regarding the future trajectory of Bitcoin’s price. Michaël van de Poppe, founder and CEO of trading firm Eight, expressed optimism about Bitcoin’s continuous upward momentum, anticipating a potential breakout to $40,000 followed by a swift correction. On the other hand, analyst Matthew Hyland raised caution, pointing out a potential bearish divergence if Bitcoin fails to surpass the 18-month highs just below $38,000.
As the market awaits a decisive move, the ongoing battle between bulls and bears is closely watched by Bitcoin traders, who are monitoring key levels for potential shifts in momentum and price direction. The outcome of this struggle will likely shape the short-term and medium-term trajectory of Bitcoin’s price.
