Bitcoin (BTC) disregarded the unemployment data in the United States on March 21 as traders hoped for a prolonged consolidation of BTC prices. The price of BTC hovered around $66,000, following data from Cointelegraph Markets Pro and TradingView. The Wall Street open on that day came after lower-than-expected U.S. jobless claims, which occurred after the Federal Reserve indicated plans to lower interest rates despite persistent inflation. The March 20 meeting of the Federal Open Market Committee (FOMC) was seen as a positive sign for risk assets, with the S&P 500 reaching new all-time highs and Bitcoin gaining 12%. However, some traders were not in a hurry to reenter price discovery. Popular trader Aksel Kibar mentioned in his latest Bitcoin analysis that the “ideal condition” for him might be happening, as he preferred a sideways trading period below the key $69,000 level before a breakout to new all-time highs. Another trader, Bob Loukas, believed that even a dip to lower levels than those recently seen would be beneficial for Bitcoin. On-chain analysis revealed the extent of panic-selling among the broader investor base as Bitcoin rebounded. The spent output profit ratio (SOPR) for Bitcoin turned negative on March 20, indicating more loss-making transactions compared to previous days. Larger BTC entities continue to increase their exposure while smaller investor classes sell. It’s important to note that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any decisions.
Bitcoin trader believes that a BTC price below $57K would contribute to the maintenance of the bull market.