Bitcoin
BTC Sees $350 Million Bids as Price Drops, What’s Next?
Bitcoin (BTC) has been under the microscope with several analysts providing insights into its current status and possible future moves. Furthermore, crypto analysts predicted a further correction. Although market traders have made bids worth more than 350 million dollars for a BTC Price less than $61,000.
Bitcoin sees substantial bids on the downside
In a post on X, Daan Crypto Trader, a notable figure in the crypto space, noted significant bids in the $59,000 to $60,000 range. These offers totaled US$350 million. He commented: “Some big bids appeared between $59 and 60 thousand. This makes sense in terms of price level as it is also the lowest range.”
Furthermore, he expressed curiosity about how the liquidity factor will behave if the Bitcoin price drops to that level. These offers indicate buying interest in this range, therefore, they can potentially lead to greater stability or even upward momentum in its price. If there is sustained buying interest at these levels, it could bolster confidence among investors.
However, the analyst noted that these offers can be canceled at any time, making it difficult to leverage Bitcoin’s liquidity. Meanwhile, Michaël van de Poppe, another crypto analyst, emphasized the importance of BTC maintaining its current position. He stated: “#Bitcoin is at an all-time low. This is technically the area where you would prefer it to hold, so the upward momentum continues and the range holds.”
Furthermore, he highlighted that if the price of Bitcoin declines, a potential correction could be seen in the $52,000 to $55,000 range. Echoing a similar sentiment, analyst Caleb Franzen noted a potential retest of support levels. He mentioned: “Bitcoin has been rejected at the H4 200 moving average cloud. It looks like another retest is coming.”
He added: “Yesterday I said that a decline in the May 1st AVWAP range was likely and that is exactly where the price fell last night. The range is $60,140 to $60,800.” Furthermore, in another post, he issued a warning against the Bitcoin price falling below $59,000 again, which could lead to an even greater drop.
Additionally, Bitcoin has seen massive long liquidations, potentially accelerating the recent decline. According to Currency Currency data, BTC long liquidations accounted for $24.80 million, increasing selling pressure. On the other hand, short sellers led to a liquidation of $9.14 million.
Read too: Bitwise Bitcoin ETF (BITB) Outperforms Others with $11 Million Inflows, What’s Next?
Forbes report highlights bullish projection
Despite the observations mentioned above, an optimistic outlook on Bitcoin has emerged from a Forbes report. The report highlighted BTC’s price increase of nearly 50% year-to-date and the potential for further growth. The report cited comments from Geoff Kendrick, head of foreign exchange and crypto research at Standard Chartered. He suggested a significant increase in the price of Bitcoin, possibly reaching $200,000 by 2025.
Furthermore, Kendrick attributed this potential increase to the increasing risk of US fiscal dominance and the monetization of public debt by the Federal Reserve. He stated: “We believe such a scenario would broadly support digital assets as investors seek alternative assets.”
Additionally, Kendrick speculated about the impact of a second Donald Trump administration. He noted that he could support BTC through looser regulation and the approval of US spot Bitcoin ETFs. If these factors play in Bitcoin’s favor, it could reach a massive market valuation of $4 trillion.
Kendrick noted: “In addition to the passive boost to bitcoin due to dedollarization, we would expect a second Trump administration to actively support Bitcoin (and digital assets more broadly) through looser regulation and the approval of U.S. spot ETFs. ”. At the time of this publication, the Bitcoin Price fell 1.98% to $61,001.08 on Thursday, May 9th.