Bitcoin is currently trading about $11,000 lower than its record high from August 14, but David Lawant from FalconX notes that the market’s structure still presents an ’extremely bullish’ outlook.
In a recent post on X, Lawant analyzed the dynamics of Bitcoin’s order book, which captures live buy and sell offers on trading platforms, emphasizing that sell orders tend to diminish rapidly after small price pullbacks.
Key Points:
- FalconX’s analysis reveals that as Bitcoin’s price declines slightly, sellers quickly vanish, resulting in a swift shift from selling to buying pressure.
- Despite a decrease from $124,481 to $113,822, the market still appears optimistic.
- This trend indicates that significant players, such as institutions, are leveraging temporary declines as buying opportunities.
Lawant’s insights suggest strong demand for Bitcoin persists, even while the price dips, reflecting confidence in its long-term potential. The absence of sustained sell-offs indicates that buyers are quick to restore price control.
Technical Analysis Summary
- Between August 19 and August 20, Bitcoin traded within a range of $1,899.78, recovering from a low of $112,437.99 to a high of $114,337.77.
- At about 13:00 UTC on August 20, Bitcoin’s price dropped to $112,652.09 but quickly bounced back owing to high trading volumes.
- This recovery confirms the $112,400–$112,650 zone as a crucial support corridor, reinforcing a bullish outlook as buyers continue to outstrip sellers.
