Bitcoin analyst is ‘optimistic’ about buying BTC lower as three trend lines fail.
Bitcoin (BTC) has failed to regain $65,000 since the Wall Street open on June 18, as analysts predict further declines in the BTC price.
The moving average was broken as BTC price fell below $65,000.
Data from Cointelegraph Markets Pro and TradingView shows that BTC/USD is struggling to maintain support near key trend lines.
Bitcoin (BTC) fell another 3% on the day, continuing its downward trend that has now resulted in losses of up to $7,900 since it began on June 9.
With various levels of support currently in the spotlight, market participants are beginning to warn that many of them lack confidence in the current situation.
For Keith Alan, co-founder of trading resource Material Indicators, multiple moving averages (MAs) became problematic after spot prices fell.
“I set a trailing stop loss before leaving town to protect some profits if Bitcoin sells off. Last night that $64,000 wick pushed me out of the position.” He revealed to his followers on X (formerly Twitter).
“I wish I could buy it again cheaper and I won’t regret that decision. I am optimistic. Losing the 21-day, 50-day and 100-day moving averages is not exactly a shining bullish sign.”
As Cointelegraph reported, the next retest was on June 18 with a short-term holding cost basis of just under $64,000.
“BTC is approaching the cost basis for short-term holders around $63,800 and I would not like to see a series of closes below. “It generally serves as a good line for the trend.” William Clemente, co-founder of cryptocurrency research firm Reflexivity, wrote in part of his commentary on the topic.
Analyzing order book activity, popular trader Daan Crypto Trades warned that “spoofing,” where large blocks of liquidity are posted and removed in an attempt to push the BTC price in a particular direction, is rampant.
“A lot of these orders have been filled,” he admitted, as BTC/USD fell after Wall Street opened.
As Bitcoin “sneezed,” altcoins suffered heavy losses.
In an update to its Telegram channel subscribers, trading firm QCP Capital offered an alternative perspective on cryptocurrency market forces.
Related: Why Is Crypto Market Down Today?
Far from being bad news, Bitcoin and altcoins have been suggested to be suffering from a lack of news.
“While BTC appears to have sneezed, Alt appears to have caught a cold, down 20-30% over the weekend,” he wrote.
“We believe this weakness in the specialty is due to a lack of news flow. Boring markets usually drive away the weak, and no one likes paying 11% per annum. “It is to maintain the criminal’s buying position.”
QCP therefore proposed a wait-and-see approach to a “boring” market.
On this day, the total altcoin market capitalization fell 7.5% to $219.06 billion.
This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.
