Bitcoin (BTC) has seen a 3% decline, dropping below $67,000 after the Wall Street opening on October 21, amid anticipated selling pressure from the United States. While the dip offers buyers what some are calling a “flash sale,” traders caution that further price retracement may still be on the horizon.
Traders Anticipate Deeper Pullbacks
Data from TradingView indicates Bitcoin’s price loss, which follows the cryptocurrency’s highest weekly close in five months. Market observers suggest that consolidation and retests of support levels may now be necessary. Popular trader Jelle noted on X that the market’s slight sell-off was “expected,” referring to the weekly chart as “primed.”
BTC/USD chart. Source: Emperor/X
Forecasts for Bitcoin’s price include potential deeper retracements, with the X account Emperor suggesting that the price could revisit $62,000. They highlighted the 55-period exponential moving average (EMA) and a high volume pocket between $66,000 and $65,500 as key support areas. Additionally, the 200-period EMA on 6-hour timeframes is currently around $63,300, which traders are closely monitoring.
Frustration Over US Market Behaviour
WhalePanda, a well-known commentator in the crypto space, expressed frustration with the US market’s reaction to Bitcoin’s recent price movements, particularly after its approach to the $69,000 mark. “Got to wonder where they keep getting the Bitcoin from to dump every day,” he remarked in response to the latest sell-off.
BTC/USDT order book liquidity for Binance. Source: Material Indicators/X
Resistance Levels and Future Outlook
Data from CoinGlass reveals that Bitcoin’s price has been consuming bid-side liquidity, with buyers showing renewed interest around $66,000. Keith Alan, co-founder of Material Indicators, described the current market conditions as a “flash sale.” He emphasized the need for Bitcoin to close above $69,000 to maintain any bullish momentum.
“There is indeed heavy ask liquidity stacked above $70k, but don’t overlook the significance of historical and technical resistance at the 2021 top,” he noted, suggesting that a sustainable move towards all-time highs would require more than just brief spikes above $69,000.
