- Bitcoin has been caught in the throes of a tremendous bull market over the past few days and weeks
- This has allowed its price to multiply over the past few months, racing from summer / fall lows of $ 8,600 to highs of $ 23,700 set yesterday morning
- The strength seen by the cryptocurrency comes as its macro forecasts shine, with big institutions and banks warming up to the technology
- In addition, there are already some signs of a imminent wave of retail “FOMO” – with some notable musicians and celebrities tweeting and posting about BTC
- Despite all the indications that Bitcoin is about to see an uptrend in the 2017 fashion, one analyst notes that it is watching for a $ 2,000 + downside in the near term
Bitcoin and the entire crypto market are drifting lower today, with its price falling following the strong rejection seen at around $ 23,700 yesterday.
The sales pressure here proved to be quite intense and caused him to see some notable disadvantage. However, as countless other times, this could be a bear trap that ultimately works in BTC’s favor.
One trader believes the continued downturn could stretch further, indicating that he is watching for an ultimate test of Bitcoin liquidity in the upper $ 19,000 region.
Bitcoin Strives to Maintain Momentum Following Yesterday’s Rejection
At the time of writing, Bitcoin is trading down just over 1% at its current price of $ 22,590. This marks a notable decline from the recent highs of $ 23,700 set yesterday.
The huge surge to this level proved unsustainable, as buyers did not have enough support to push it higher.
The crypto may now see some consolidation around its current price levels before it can surge higher.
Why is one trader watching for a move to the top region- $ 19,000
One trader he explained in a recent tweet that it expects Bitcoin to test its liquidity and demand zone pretty much between $ 19,600 and $ 20,000 some time soon.
“It is hard to imagine BTC not being filled at some point. maybe not right away but I would have thought sooner rather than later, ”he said.
Image Courtesy of Deadrabbits. Source: BTCUSD on TradingView.
If this level is tapped in the near term, Bitcoin must post a strong response to it. Any continued downturn under it could open the gates for the whole market to see notable mid-term losses.
Featured image from Unsplash. Charts from TradingView.