Bitcoin Heading To $60,000? Analysis of June 18, 2024

After falling short of its last high, Bitcoin is showing increased selling pressure. Let’s analyze the future prospects of BTC price together.

Bitcoin (BTC) Price Situation

After rejecting $72,000, Bitcoin experienced selling pressure that pushed its price below the first support mentioned in the June 11 analysis, around $67,000 – $66,000. So it seems that the short period of range on this price level ended. Now, a sell structure is evident in the short term, paving the way for a continuation of the downward move to $60,000. However, before reaching this last price level, there is a value zone that can act as support, around $63,000.

At the time of writing this text, the Bitcoin price is trading around $65,600. We can see that the cryptocurrency has recently generated buying interest around $65,000, making it an area of ​​interest to watch. It is also worth noting that this price zone is at the same level as the 50-day moving average. So it would be reassuring to stay above this price level so as not to question the medium-long-term structure of BTC. As for Bitcoin’s price dynamics, it seems to continue to weaken, as evidenced by its price and oscillators. So it does not support the buying camp.

The current technical analysis was carried out in collaboration with Elie FT, an investor and passionate trader in the cryptocurrency market. He is now a trainer at Family Trading, a community of thousands of real estate traders active since 2017. There you will find lives, educational content and mutual support around financial markets in a professional and friendly atmosphere.

Focus on Derivatives (BTCUSDT)

The open interest of Bitcoin perpetual contracts appears to follow the price of its underlying asset. Nevertheless, it is particularly revitalizing. This shows continued speculative interest even as the Bitcoin price is revised downward. Combined with falling funding rates, one might imagine this resurgence is due to growing seller interest. However, since it is still positive, it still shows dominant buying power. On the liquidation side, we can observe that buyers have recently faced forced liquidations at the 65,000 mark. This demonstrates a buyer power capitulation. Nevertheless, we can rejoice in the market response that shows continued buyer absorption.

The liquidation heatmap of the past months indicates that BTC / USDT recently touched the liquidation zone around $65,000. Buying interest seems to be taking shape even if it hasn’t actually manifested. Now the main liquidation zone is located above its current price, exactly around $72,200. Below the current price we can also note the liquidity cluster near $60,000. If the market approaches this level, we could see a massive trigger of orders, potentially increasing the volatility of the cryptocurrency. These zones therefore represent important points of interest for investors.

Hypotheses for Bitcoin (BTC) Price

As long as Bitcoin manages to stay above $65,000, we can expect reintegration from $67,000 to then reach $72,000. The next resistance to consider, if the upward movement continues, will be Bitcoin’s ATH below $74,000. Higher up, we can highlight the first level of Fibonacci extensions identified at $78,300. At this stage, this would represent an increase equivalent to 19%. If Bitcoin does not stay above $65,000, we can consider buying interest support at $63,000. The next level to consider, if the downward movement continues, would be around $60,000. At this point, this would represent a decline close to -9%.

Closure

Bitcoin recently experienced selling pressure, leading to a key support break and signaling a possible continuation of the downward movement in the near term. However, a support zone has emerged that offers a glimmer of hope for buyers. The current dynamics remain weak, and without staying above $60,000, the medium and long-term structure can be questioned. Therefore, it will be crucial to carefully observe price reaction at different key levels to confirm or invalidate current hypotheses. It is also important to remain vigilant against potential market “false outs” and “squeezes” in every scenario. Finally, let us remember that these analyzes are based solely on technical criteria and that cryptocurrency prices can also develop rapidly based on other more fundamental factors.

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Family Trading is a community of own-account traders active since 2017 that offers lives, educational content and mutual assistance around the financial markets, including that of cryptocurrencies with Elie FT, a passionate investor and trader on the crypto market.

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