Bitcoin (BTC) faced selling pressure at the open on Wall Street on April 22 as markets began a repeat of Thursday’s losses.
No Rest for Stocks or Cryptocurrencies as Losses Mount
Data from Cointelegraph Markets Pro and TradingView showed that the BTC/USD pair followed a grimly familiar course on Friday, hitting lows of $39,197 on Bitstamp.
The previous day had cost the bulls the support at $40,000, a level that had yet to solidify as a significant line in the sand at the time of writing.
For the Material Indicators analytical data resource, it was now about looking at the deals that were filled further down the exchange order books.
Between spot and $37,500, there were approximately $100 million worth of deals waiting on Binanceaccording to the attached graph.
“Waiting for it to fill but watching to see if BTC/USDT liquidity moves to active buy zone or buy zone moves to orders resting on binance order book,” commented Material Indicators.
US stocks showed no signs of slowing from their new path, with the S&P 500 down 1.75% in the first ninety minutes of trading and the Nasdaq 100 shedding 1.43%.
In Europe, The picture was made worse by the bond market sell-off that reached what market commentator Holger Zschaepitz called “historic proportions.”
The European corporate bond market’s ongoing selloff has reached historic proportions, w/high-grade bonds losing a record 8.6% in total return terms since their Aug peak. This is now worse downturn than lows reached during early coronavirus turmoil & the GFC, BBG has calculated. pic.twitter.com/X7Tai3IiU1
— Holger Zschaepitz (@Schuldensuehner) April 22, 2022
The ongoing sell-off in the European corporate bond market has reached historic proportions, with high-grade bonds shedding a record 8.6% in total return terms since their August peak. This is now a recession worse than the lows reached during the initial coronavirus and GFC turmoil, BBG has calculated.
Traders ‘underestimate failed breakout’
Traders were also generally in “wait and see” mode when it came to Bitcoin.. Cointelegraph contributor Michaël van de Poppe told Twitter followers that the BTC/USD pair was now in a “crucial” area.
“The level has come. Let’s see how the market will respond from this area in Bitcoin,” wrote in its latest update.
In the meantime, popular trader Cheds took a more sinister line when examining price performance over several weeks.
Because it failed to break out of the 2022 trading range for good earlier this month, the outlook for Bitcoin may now be more ominous than many wanted to believe, it warned on Friday.
$BTC my belief is most market participants are underestimating the impact of this failed breakout https://t.co/aREFTXTzYo
— Cheds (@BigCheds) April 22, 2022
$BTC I think most market participants are underestimating the impact of this failed breakout
Bitcoin has no shortage of medium-term bearish price predictions, including that of former BitMEX CEO Arthur Hayes, who expects $30,000 to return by June.
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