Bitcoin (BTC) has been hovering close to $66,000 on April 23 as sellers are holding back, keeping the price in check. There has been a new trading range established since the weekly close, which is slightly higher than the previous week. The lack of movement has not inspired bullish investors, as a rally to $67,200 was unsuccessful in closing a nearby CME Group Bitcoin futures gap. There is another gap lower at $64,400 that has yet to be reached, creating near-term price targets for BTC.
A popular trader named Marco Johanning identified $66,700 as a crucial level for Bitcoin to turn into support. He explained that BTC managed to reclaim the midrange but failed to surpass the next level at $66.7k. Johanning provided two scenarios based on the market’s response to this level. The first scenario is that BTC flips $66.7k and moves towards the old trendline and range high. The second scenario is that BTC gets rejected at $66.7k and falls back to the midrange, potentially with a wick below to close the CME gap. In both scenarios, Johanning believes that the short-term trend will continue and BTC will move towards the range high.
The liquidity landscape on exchange order books confirms the current tight range, with bids and asks closely tied to the spot price. The biggest support and resistance levels are at $66,000 and $67,350, respectively, according to data from CoinGlass.
Traders and analysts are anticipating a larger price move for BTC. Matthew Hyland, a popular trader and analyst, has observed changing Bollinger Bands conditions on 3-day timeframes, indicating an upcoming breakout in either direction. The width of the Bollinger Bands, a volatility indicator, is currently the narrowest since mid-February when BTC was priced below $50,000. Previous analysis had predicted an upside “squeeze” based on Bollinger Bands behavior, which eventually came true.
Bitcoin’s price has been constrained within a tight range, with bulls lacking inspiration. The market is closely watching key levels at $66,700 and the potential for a breakout in either direction based on Bollinger Bands analysis. Traders are prepared for both scenarios and expect BTC to continue its short-term trend towards the range high.
I hate these indecisive markets. Make up your mind, Bitcoin!
The short-term trend towards the range high is definitely getting traders’ attention. Let’s see where Bitcoin goes!
I’ve been patiently waiting for a larger price move, but it’s all talk and no action.