Bitcoin (BTC) fell below its weekly lows before the Wall Street open on March 15, but traders remained unfazed by the dip in the bull market.
The BTC/USD 12-hour chart showed that the price dropped to $65,569 on Bitstamp, after reaching fresh all-time highs the day before. This decline marked the first major retest of support levels. However, Bitcoin’s old record high of $69,000 from 2021 failed to support the market.
Despite the price drop, market observers appeared calm, noting that corrective moves are common during bull runs. On-Chain College, a popular commentator, stated on X (formerly Twitter) that a 10% retracement is normal during bull markets, and greater than 30% corrections are to be expected.
Popular trader Credible Crypto discussed the potential bottom of the market, highlighting a block of bid liquidity around $64,000. He also noted that open interest had already decreased significantly during the drawdown. He concluded that if a bounce or reversal occurs at this level along with a wipeout of the remaining open interest, it would be a logical place for the market to turn around.
Jelle, another optimistic trader, compared the current correction to historical patterns and stated that the average major Bitcoin pullback during this cycle is about 20%. He expressed surprise at the recent pullback but remained confident that higher prices can be expected in the coming months.
As leveraged long positions unwound, liquidations increased significantly on the day. According to on-chain monitoring resource CoinGlass, combined BTC liquidations reached nearly $300 million in the 24-hour period.
In the Bitcoin futures market, few market participants were willing to take short positions, according to popular trader Skew. He noted that spot selling was leading the price lower and more long positions were being liquidated.
It’s important to note that this article does not provide investment advice or recommendations. Readers should conduct their own research before making any investment or trading decisions.
Bitcoin shorts remain nonexistent despite a "very ordinary" drop in BTC price below $66,000.