Bitcoin’s price of $64,000 is currently surrounded by uncertainty and potential liquidation levels. On April 25th, the price experienced a sudden drop due to geopolitical news, causing some investors to lose up to 5% of their positions.
The price decline was a result of renewed tensions in the Middle East, causing Bitcoin’s price to fall from $63,575 to $44,231. CoinGlass, a monitoring resource, reported an increase in liquidity on cryptocurrency exchanges, suggesting that both investors and banks were contributing to the current price of Bitcoin.
Interestingly, there was a significant accumulation of bids around the $64,765 mark, with an additional bid at $67,700. However, the local low of $63,500 provided only modest support for the current bid interest. Bitcoin also filled a second gap in CME futures with its recent downside movement, according to some analysts. Nevertheless, the team at Daan Crypto Trades believes that the current empirical funding rates are in a “healthy” state, emphasizing the importance of market conditions before making any significant moves.
Despite the recent price drop, there is still cautious optimism in the market. Consolidation of the spot price is expected in the short term, rather than a significant increase. Additionally, US-based Bitcoin ETFs experienced net outflows on April 24, driven primarily by the Grayscale Bitcoin Trust fund. However, there is hope for Bitcoin ETFs in Hong Kong, as they are set to begin trading on April 30, marking another milestone for Bitcoin’s institutional adoption this year.
