Bitcoin heads for dismal weekly shut as BTC worth rejects at $20K

Bitcoin (BTC) tried to reclaim $20,000 as assist on June 19 as bulls confronted a $7,000 weekly crimson candle.

BTC/USD 1-hour candle chart (Bitstamp). Supply: TradingView

$16,000 eyed for doable subsequent transfer

Knowledge from Cointelegraph Markets Professional and TradingView confirmed BTC/USD rising from lows of $17,592 on Bitstamp earlier than being firmly rejected at $20,000.

Low-liquidity buying and selling situations had made for a grim weekend for hodlers as the most important cryptocurrency fell to ranges not seen since November 2020.

Whereas recovering some losses, a way of deja vu pervaded the market on the day. $20,000 had returned as resistance, this having fashioned an all-time excessive for Bitcoin for 3 years from December 2017 to December 2020.

It was additionally the primary time that BTC/USD had retreated below a earlier halving cycle’s all-time excessive.

Whereas some panicked, nonetheless, seasoned market contributors remained broadly understanding of current worth motion, which nonetheless corresponded with historic bear market patterns.

“To place issues into perspective: A Bitcoin crash of 74% as at current is nothing uncommon,” markets commentator Holger Zschaepitz acknowledged.

“In historical past, there have already been 4 collapses through which the main cryptocurrency went from peak to trough by >80%.”

By way of what might like forward, consideration targeted on $17,000 as a possible short-term goal. A brief squeeze larger, as widespread Twitter account Credible Crypto famous, was not on the menu.

Fellow dealer and analyst Rekt Capital in the meantime added that Bitcoin’s 200-week shifting common (MA), a key assist line in bear markets, was nonetheless functioning as earlier than.

Sellers offload cash at a file loss

At round $7,000, nonetheless, the week’s crimson candle was set to be the one of many largest in Bitcoin’s historical past in greenback phrases.

Associated: GBTC premium hits -34% all-time low as crypto funds ‘puke out’ tokens

BTC/USD month-to-month returns chart. Supply: Coinglass

Knowledge from on-chain analytics platform Coinglass added that June 2022 was shaping as much as be the worst on file, beating even 2013 by way of losses.

As an indication of investor strain ensuing from spot worth efficiency, extra BTC was offered at a loss within the three days to June 19 than at some other time, based on figures from on-chain analytics agency Glassnode.

Extra considerations targeted on the monetary buoyancy of Bitcoin miners. Not everybody, nonetheless, agreed that community contributors have been feeling the pinch to the extent that capitulation would end result.

The views and opinions expressed listed here are solely these of the writer and don’t essentially replicate the views of Cointelegraph.com. Each funding and buying and selling transfer entails threat, you must conduct your personal analysis when making a call.