On Friday (June 21), after Bitcoin fell below $65,000, it hit a low of $64,635, with bears holding the steering wheel tightly. Trading data found that whales forged bids in the order book, causing Bitcoin to fall victim to large order book participants. The German government transferred 1,110 bitcoins to several exchanges, exacerbating the panic of subsequent selling of more tokens.
Looking at the market on Thursday, Bitcoin reached $66,455 on the Bitstamp exchange before Wall Street opened. However, these gains did not last long, and a sudden reversal followed, causing Bitcoin to fall by $2,000.
By analyzing the latest trends, the on-chain indicator agency Material Indicators firmly put the blame on whales. The company confirmed: "FireCharts shows that whales are forging bids in the order book."
“A buy wall at $60,000 was removed shortly after the open on Monday, while another buy wall that appeared at $66,000 appeared to disappear 45 minutes later.”
CoinGlass’ real-time coverage of Bitcoin order book pairs points to the roughly $64,250 area as the new focal point for liquidity.
Another topic of debate that day was the transfer of Bitcoin confiscated by the German government to the chain.
On-chain data analysis platform Arkham discovered that a wallet address marked as the German Federal Criminal Police Office (BKA) began to transfer Bitcoin recently.
In a short period of time, the German government transferred 1,110 bitcoins to several exchanges, including Kraken and Bitstamp, triggering panic selling pressure in the market for its subsequent possible sale of 47,000 bitcoins.
Daan Crypto Trades, a well-known trader, hopes history will repeat itself, saying: “This is another good example.”
“Can’t remember when sell-offs big and small due to government token transfers/sales stopped marking some kind of local bottom.”
CoinGlass data mentioned that due to the intraday volatility, both Bitcoin long and short positions felt pressure, and shorts are currently in a loss-making state.
Meanwhile, the latest US macro data sent mixed signals on progress and inflation.
Jobless claims came in at 238,000 for the week ended June 15, below expectations of 235,000 and down 5,000 from the previous week.
According to CoinTelegraph, the crypto market will continue to be sensitive to employment data in 2024. Financial commentator Tedtalksmacro pointed out: "The number of job vacancies is at lows during the COVID-19 pandemic and the global financial crisis, indicating that the business and liquidity cycle is at a low point, not a high point."
Previously, Tedtalksmacro highlighted the ongoing correlation between Bitcoin price performance and the Federal Reserve’s liquidity conditions.
Bitcoin Technical Analysis
CMTrade said that Bitcoin RSI is below the neutral zone of 50, MACD is below the signal line and is positive, and MACD must break through the zero line to expect further declines.
Moreover, the price is trading below the 20 and 50-period moving averages at $65,672 and $65,265 respectively.
“Our pivot is at $66,150 and our preference is to see pressure below $66,150.”
“The alternative scenario is an upside breakout above $66,150 which would lead to $67,160 and $67,770.”
