After experiencing a significant 25% pullback earlier this month, dropping to the $49,000 level, the king of cryptocurrencies, bitcoin (btc), has managed to consolidate above the crucial $60,000 support over the past 24 hours.
However, bitcoin’s path to further price appreciation has been uneventful. The digital asset has been unable to break above higher resistance levels, which technical analysts consider essential to retest the all-time high levels reached in March.
What on-chain metrics reveal
According to a recent analysis shared on social media platform x (formerly twitter), technical analyst Inspo crypto has x.com/InspoCrypto/status/1826606347141452270″ target=”_blank” rel=”nofollow”>Outstanding The cautious sentiment among options traders. While they remain optimistic, they continue to hedge against potential downside risks, suggesting an expectation of a possible market shakeout or negative news.
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The analyst also argues that upward selling pressure has been solid. Wednesday's price increase was mainly due to sales ordersleading to the liquidation of high leverage long positions.
Digging deeper into the market data, the options market reflects a mixed outlook with slight bullish tendencies, but the 25-Delta skew indicates uncertainty, particularly with the upcoming economic events influencing the merchant's caution.
In the futures market, the data shows short-term bullish momentum, but with increased volatility. Rising open interest suggests increased market participation, but the liquidation heat map highlights the risks of sudden price swings.
bitcoin Breakout Towards $63,000 Or Consolidation At $60,000?
As for the spot market and technical analysis, the data provides a clear picture of bullish momentumbut the cryptocurrency is facing strong resistance at the $61,300 to $61,500 levels.
However, volume appears insufficient to facilitate a meaningful breakout, and order book data reveals substantial sell-side pressure at these levels.
Inspo crypto also found that the average sentiment of traders is neutral to slightly bullish, with a rating of 5.5 out of 10. Traders are cautiously optimistic, but there are clear signs of uncertainty and potential. volatility.
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The price forecast for the next 24 hours suggests that bitcoin may continue to try to break the $61,300 to $61,500 resistance level.
However, a genuine breakout seems unlikely without a substantial increase in trading volume. If the resistance holds, a pullback towards the $60,000 level or even $59,500 is possible.
For the rest of the week, if bitcoin manages to break above the $61,500 level with a surge volumeA move towards the $62,500 to $63,000 range could follow. Otherwise, a consolidation between $59,500 and $61,000 is likely, especially if market volume remains low and selling pressure persists.
On Wednesday evening, btc broke above $61,700 for the first time in almost two weeks, but has since fallen back to the $60,000 level. Still, the price of bitcoin is up 1.8% over the past 24 hours.
Featured image of DALL-E, chart from TradingView.com
