Coinspeaker Bitcoin (BTC) Price Slips Below $67K, Signaling Potential Decline toward $60K amid Heightened Whale Activity
Bitcoin (BTC) price dropped around 1.1 percent in the past 24 hours to briefly tease below $67K on Friday during the early London session. The flagship coin has experienced major resistance between $72K and $73K in the past four months, thus triggering mixed reactions among traders. According to on-chain data analysis provided by market intelligence platform Santiment, the recent Bitcoin price drop below $67K has resulted in a sharp uptick in crowd-buying interest.
The heightened calls for buying the dip narrative have caused a notable increase in greed and FOMO traders, amid anticipation of continued bullish sentiments.
Moreover, the recent interest rate cuts in Canada and from the European Central Bank (ECB) have increased the chances of a similar scenario in the United States late this year.
Bitcoin Price Under Immense Selling Pressure
According to on-chain data analysis provided by CryptoQuant, Bitcoin miners have accelerated the rate of exchange deposits in the last few days, signaling heightened selling pressure. Bitcoin miners have accelerated profit taking about two months after the fourth halving happened.
Another red flag is the issues facing miners and their active selling on exchanges and through OTC – essentially, this is capitulation. pic.twitter.com/8E4jUTBX7x
— Axel 💎🙌 Adler Jr (@AxelAdlerJr) June 13, 2024
The notable Bitcoin miners’ selling pressure has coincided with renewed cash outflows from United States-based spot BTC ETFs. As Coinspeaker explained, the rate of cash outflows from spot Bitcoin ETFs has significantly increased across the board, as investors fear further market drop.
Is the Bull Cycle Over?
Bitcoin price has significantly underperformed compared to the stock and bond market this quarter, suggesting the crypto bullish outlook is gradually losing steam. According to Jurrien Timmer, the director of global macro at Fidelity Investments, Bitcoin remains an exponential gold and a better option in the store of value despite the slowed adoption in recent months.
However, Timmer noted that Bitcoin’s adoption rate must grow further in the near term to fuel the bullish narrative to a new all-time high. Moreover, the divergence between Bitcoin price and its adoption curve has continued to widen in the past few weeks, suggesting heightened crypto cash rotation.
Already, Bitcoin dominance has approached a major resistance level coupled with a falling divergence on the weekly Relative Strength Index (RSI).
Midterm BTC Price Targets
From a technical standpoint, Bitcoin price is faced with a major uphill ahead as the daily and weekly Relative Strength Index (RSI) signals a further downward trend. According to veteran trader Peter Brandt, Bitcoin price must defend the support level around $66K to avoid further capitulation towards $60K and $48K.
Chart of interest – Bitcoin $BTCSometimes the most obvious interpretations of a chart work out, most of the time the charts morph. But the most obvious is this: Break through 65,000, then mkt goes to 60,000 Break through 60,000 mkt goes to 48,000 pic.twitter.com/JsXXVx2EhV
— Peter Brandt (@PeterLBrandt) June 13, 2024
On a macro scale, Brandt argued that Bitcoin price should have reached a cycle top based on exponential decay. However, based on Brandt’s Hump Slump Dump and Pump (HSDP) indicator, Bitcoin price could easily rally to a new ATH in the near term.
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Bitcoin (BTC) Price Slips Below $67K, Signaling Potential Decline toward $60K amid Heightened Whale Activity