Bitcoin’s price faces liquidation hurdles amid geopolitical tensions

In this post:

  • Bitcoin dropped from $64,000 to $44,231 on April 25th amid geopolitical news, liquidating bulls.
  • A $64,765 bid wall emerged, but analysts advocated caution despite potential support.
  • US Bitcoin funds saw outflows while Hong Kong prepared for the spot ETF launch.

Liquidation levels covering an ever-increasing cloud surround Bitcoin’s price at $64,000.While resting on the $64,000 level, the price of Bitcoin traded lower on April 25th, burning at a knee-jerk reaction to fresh geopolitical news. As a result, some bulls lost up to 5% positions.

Price tumble amid tensions

In line with that, the cryptocurrency’s price lost $63,575 at the previous daily close and then depreciated to $44,231 following renewed Middle East tensions. Based on the data reported by monitoring resource CoinGlass, the liquidity of the spot price of bitcoin on cryptocurrency exchanges increased on both sides on this day, so it is reasonable to assume that both investors and banks accounted for the current price of bitcoin.

Source: CoinGlass

Remarkably, a big accumulation of bids started developing at around $75 million asking price of around $64,765 until, on top of it, an asking price of $67,700. However, the $63,500 — a local low based on the past data- proved modest support for the current bid interest. They say Bitcoin filled a second gap in CME futures with its recent downside. However, Daan Crypto Trades claims the “healthy” status of current empirical funding rates as the main “deepness.” The team has said that they don’t want to long ape in on the next big green candle just by saying,”…we’d rather see the market make a nice green candle on a long ape than the other way around”.

Cautious optimism persists

“Spot price consolidation, rather than the upside price cap that the market expects, was the market’s forecast for the short-term format. On the other hand, the United States U.S. spot Bitcoin ETFs returned to net downflows on April 24 in line with the listed US-based Grayscale Bitcoin Trust (GBTC) fund. These are outflows driven mainly by the Grays.

Spot Bitcoin ETFs will trade in Hong Kong from April 30. This will be the second time Bitcoin has been adopted in the institutional space this year.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.

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