Bitcoin in Lots of Problems - Stay ALERT!Non- Market factors affecting the BTC price
US Govt has a holding of around 200,000 BTC worth $12 Billion. Yesterday (20-07-2024), they moved 29K btcs worth $2.02 Billion to another wallet and this was the major reason for this dip along with the highest resistance at around $70,000.
There are speculations that the US govt. might sell these transfered BTCs just like Germany. This is a huge fear factor. On the other hand MT gox is also repaying its creditors, this is another bearish thing, because people will sell what they will receive.
Chart Analysis
On the chart you can see 4 circled areas, these are all bearish movements, near range MAs crossing down long range MAs - we have discussed these multiple times in the past, these are death crosses.
At present, btc price is holding and consolidating at the support level 2. Under this we have small support zones -
1-> $65,990 - Fibonacci level 0.786- Helped us in the past.
2-> $65,520 - A past support zone
3-> $64,900- $65,000 -> A liquidity support zone.
4-> A major support zone between $63,200 - $64,000 (also backed by fib level 0.618 at $63,140)
This level has supported the last fall that can when Mt gox made first payment and Germany sold their btc.
This is the biggest support we have at the nearest point.
Since last night, bears were in high power and it is easy to create bearish fall than creating a rise, we have discussed this many times as well.
As of now, the support level 2 is holding the price, all the MAs are anti rise this time and will act as resistance. There are major chances we will go down and see the major support level at $64,000.
Always keep in mind the Market Maker (MM) game. When traders go bullish, they shift the market to bearish mode to liquidate them and when traders are bearish, you would see a sudden rise.
Traders are always fighting against the Market. So when you feel the market is going into blood, get ready to see a sudden spike. This might bring price up bypassing the MAs but will get rejected by the support level 1. Plan accordingly.
