NEWSLETTER
After a positive start of the week, the price of bitcoin returned to negative yields after btc (btc) fell 3.5% to an intradic minimum of $ 84,120 on March 28. The price rejection occurred on the cusp of the descending (black) trend line and the upper range of the ascending channel pattern.
bitcoin 1 day graph. Source: cointelegraph/tradingView
In the daily table, btc is currently below the 200 -day exponential mobile average (EMA) again, and a possible closure below the key indicator could trigger a greater disadvantage.
The global liquidity expansion could help the price of bitcoin
Recent analysis of the capital flows of the Macroeconomic Market Analyst <a target="_blank" data-ct-non-breakable="null" href="https://x.com/Globalflows/status/1905343513971310915″ rel=”null” target=”null” text=”null” title=”null”>pointed Outside that bitcoin could correct the region of $ 72,000- $ 75,000 if the liquidity conditions remain unchanged.
Macro liquidity refers to the total capital available in the financial system that can easily flow towards risk assets such as actions and cryptography, but is influenced by factors such as interest rates, the policies of the United States Federal Reserve and market conditions.
According to capital flows, bitcoin exhibits a “greater convergence” with traditional risk assets, but remains on the periphery of the risk curve. This implies that for capital to flow again to btc, the mentality of investors must change from focusing on less risky assets, such as bonds, more risky assets such as btc or low quality banks in the Russell index. Said the researcher,
“In general terms at this time, the macro liquidity backdrop is neutral. The rates have lowered marginally, but transport trade continues to create asset risks.”
On the contrary, other analysts have indicated that the increase in monetary supply M2 M2 could trigger a btc rally. The global liquidity table, which monitors the growth of M2 of the main central banks, has historically formed a correlation with bitcoin price movements.
Colin speaks crypto, a cryptographic commentator, <a target="_blank" data-ct-non-breakable="null" href="https://x.com/ColinTCrypto/status/1905285924054847987?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Etweet” rel=”nofollow noopener” target=”_blank” text=”null” title=”https://x.com/ColinTCrypto/status/1905285924054847987?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Etweet”>saying That the predictive correlation between supply M2 and btc indicates a btc rally around May 1, which could last two months.
However, the key difference between macro liquidity and the global growth of M2 is that, although M2 measures the total money supply, macro liquidity highlights the ease to which capital can flow in risk assets. For context, even if the M2 money supply increases, macro liquidity could continue to be the same if money is assigned to low -risk assets. In that, capital flows, he said:
“The amount of money in the system is not expanding as it used to do.”
Related: Why is bitcoin Price down today?
bitcoin Fill Sub- $ 85K CME Gack
The recent bitcoin rally created a CME gap between $ 84,435 and $ 85,000. The bitcoin CME futures gap indicates the difference between the closing price of btc CME futures on Friday and the opening price on Sunday night. The holes are filled most of the time, and merchants approach these levels from the point of resistance or support, depending on the structure of the market.
bitcoin CME GAP GAP. Source: cointelegraph/tradingView
As illustrated in the graph, the price of btc filled the CME space before its daily closure on March 28, which can lead to a short -term rebound. The CME gap is also aligned with a new test of the lowest range of the ongoing ascending channel pattern, as mentioned above.
However, crypto Trader HTL-NL <a target="_blank" data-ct-non-breakable="null" href="https://x.com/htltimor/status/1905524731425817057″ rel=”nofollow noopener” target=”_blank” text=”null” title=”https://x.com/htltimor/status/1905524731425817057″>pointed Out of the possibility of a long -term correction below, forming new minimums in 2025. The merchant showed immediate support to $ 76,700, which could be a region of lower reverting before prices fall below $ 74,000.
Similarly, crypto Chase, a technical analyst, <a target="_blank" data-ct-non-breakable="null" href="https://x.com/Crypto_Chase/status/1905514314980618310″ rel=”null” target=”null” text=”null” title=”null”>noted which is a situation of “doing or dying” for bitcoin. In an x post, said the merchant,
“Any of this FVG / 2 weeks ago at 8527.0 or fail, and I will look for a brief to reverse the accumulation of LIQ about 80k.”
This article does not contain advice or investment recommendations. Each investment and trade movement implies risk, and readers must carry out their own investigation by making a decision.
