Bitcoin Dips Below $67,000 as Traders Predict Further Downward Swing
Summary:
Bitcoin's value plummeted under $67,000 ahead of the Wall Street opening on June 11, marking a new monthly low. The dip has inspired caution from traders, who predict that the downward trend will continue towards $60,000. Despite this, some experts say Bitcoin's sustained drop is simply a sign of market fluctuation, not a cause for concern. Still, with open interest on derivatives markets reaching new highs in June, others warn of potential price volatility and high-risk situations in the Bitcoin market.
Bitcoin's value experienced a significant dip, plunging below $67,000 prior to the Wall Street opening on June 11, an event typically seen before the inflation report is out. The BTC/USD 4-hour chart provided by TradingView revealed a new low for Bitcoin, touching $66,696 on Bitstamp – the lowest within the month so far. Bitcoin’s consistent fall for nearly a day straight suggested no signs of bucking the downward trend as the macroeconomic statistics from the United States and the commentary from the Federal Reserve awaited.
Bitcoin is now experiencing a 3.6% loss on the day, with multiple traders indicating further dip predictions inching towards $60,000. Renowned trader Roman in his message to followers on X (formerly Twitter), expressed a keen interest in the fluctuating market and suggested a possibility of entering long if a reversal presents itself. Agreeing with Roman, Castillo Trading also expressed his inclination towards a slightly lesser buy zone around $64,000.
Other traders urged for patience with the price ever so stagnating and Bitcoin consolidating below all time highs for almost three months. With the new week starting on a red, BTC is pushing back into key support level at $67,500 – a condition not ideally comfortable but nonetheless not much has changed. Traders are therefore advised not to panic. Trader and analyst, Scott Melker interprets the recent price action as nothing but a storm in a teacup.
A word of caution is advised as Open Interest on derivatives market reach new all-time high in June, breaching $37.6 billion, which normally suggests looming price fluctuations for Bitcoin. While the open interest in Bitcoin futures dropped as the bitcoin price fell, it still remained over $35 billion. Filbfilb, Co-founder of DecenTrader, pointed out the increased risk situation with the price flat and Open Interest rising by 1.5 billion. Filbfilb perceived the situation as potential for Bitcoin touching as low as $45,000 in a worst-case scenario.
The current article does not provide investment advice or recommendations. Any investment or trading move entails inherent risks requiring individuals to conduct personal research prior to decision-making.
Published At
6/11/2024 4:15:27 PM
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