Amid the escalating Israel-Iran conflict, the Bitcoin (BTC) price has undergone major price volatility hitting a low of $61,500 over the weekend. However, Bitcoin has recovered partially from there and is currently trading 1.5% up at a price of $65,342.71 and a market cap of $1.3 trillion.
Key Levels to Watch for Bitcoin Price
Bitcoin analyst Willy Woo provided insights into the current market conditions, indicating a critical support level at $58.9k. According to Woo, a breach of this support could signal a transition to a bear market.
He noted that the Cumulative Value Delta (CVD) selloff has likely reached its peak, suggesting a forthcoming upward phase. CVD measures market orders, indicating impatient buy and sell activities. However, Woo cautioned that a proper bullish environment may still be weeks away.
Here’s how the markets look to me.
$58.9k STH support, if this breaks we move to a bear market.
CVD selloff has peaked, so a phase of “up” next. CVD measures market orders (impatient buy/sells).
Longer term: still weeks away from a proper bullish environment. pic.twitter.com/NxVwSA4KtT
— Willy Woo (@woonomic) April 15, 2024
Woo emphasized that the market structure remains unchanged from his analysis last month, characterized by sideways movement in March and choppy fluctuations in April. Additionally, the upcoming halving event next week could introduce further volatility to the market.
In a broader context, Woo highlighted the potential for two upward levels on the macro indicator. Despite prevailing bearish sentiment, he disclosed purchasing during the support retest, adhering to his strategy. This decision reflects his optimism amid the current market conditions.
BTC Short Liquidations to $71-$75K
Bitcoin analyst Willy Woo discussed recent market dynamics, highlighting a significant decrease in long leverage down to $60k. He noted that for prices to liquidate further, they would need to breach the robust $59k STH support, indicating a potential bearish trend. Instead, Woo suggested that short liquidations to the range of $71-75k are more likely in the near term, as price movements are influenced by liquidations.
Examining demand and supply indicators, among other metrics, Woo expressed confidence that the ongoing accumulation during the consolidation phase will eventually propel Bitcoin past its all-time high (ATH). He emphasized the importance of patience and cautioned against impulsive actions.
Woo underscored the significance of prolonged consolidation around ATH, explaining that it facilitates the transfer of coins between investors, strengthening price discovery. He viewed Bitcoin’s emergence as a trillion-dollar asset class as a positive development, highlighting its enduring significance in the financial landscape.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
