
Bitcoin price volatility has surged ahead of the weekly close, with traders eyeing the crucial $108,400 reclaim level. Recent liquidations in the market have reportedly exceeded $200 million within a span of 24 hours, creating a tense market environment.
Key Highlights:
- Bitcoin can maintain its bullish trend if it regains the $108,400 hurdle shortly, according to analysts.
- The market has displayed considerable volatility as liquidations surged ahead of the weekly close.
- Altcoin futures illustrate significant losses for traders since the last bear market’s bottom.
Bitcoin (BTC) exhibited notable volatility as Sunday’s weekly close approached, marking a critical reclaim level. Data from Cointelegraph Markets Pro and TradingView indicated BTC/USD reaching local highs of $108,260 after a challenging week that saw Bitcoin fall below $104,000. As pressure from sell-side transactions began to ease, trader Daan Crypto Trades suggested we might be in for an intriguing week.
“Volatility is definitely high here due to the thin books following this massive market flush.”
Future Volatility Expected
With liquidation data revealing over $200 million in crypto liquidations in the past 24 hours, both bid and ask liquidity thickened on exchange order books prior to the close. Daan Crypto Trades also forecasted that volatility might linger due to the current market conditions.
Traders are keenly observing as Bitcoin approaches securing a positive weekly close above $108381, which would maintain the historical weekly demand area despite experiencing downside wicks.
Altcoin Futures Pressure Market Sentiment
Despite some respite from significant downturns, market sentiment has barely moved out of the extreme fear category. Data from the Crypto Fear & Greed Index recorded a 29/100 score on Sunday, a slight uptick from six-month lows.
Luke Martin, a trader and analyst, noted that altcoins are largely contributing to the bearish mood in the market, further emphasizing how dominant coins can still coexist with negative sentiment in the altcoin sector. Martin pointed to performance data from Binance’s top 50 altcoin futures to showcase this sentiment shift.
“A basket of the top 50 altcoins is now trading BELOW their levels post-FTX crash in 2022.”
In summary, recent market events and trader sentiments suggest that Bitcoin’s ability to maintain its throne depends heavily on reclaiming key price levels amidst heightened volatility.