Bitcoin (BTC) began showing new signs of an impending correction on March 31st as BTC price action began to affect the CME futures gap from last weekend.
Up or Down, CME Futures Gaps Provide Targets
Data from Cointelegraph Markets Pro and TradingView showed the BTC/USD pair spiked sharply by $1,000 within minutes on Bitstamp after the March 31 Wall Street open.
The pair had wavered after failing to consolidate the $48,000 level as support earlier in the week, amid calls for a retest of lower levels as a necessary step after sizeable gains.
At the time of writing, Bitcoin hovered around $46,700, having hit its lowest levels since the night of March 27.
A look at the CME futures chart showed that short-term price performance could have a downside target in the form of the “gap” left over from last weekend.
CME futures ended up trading around $44,650 on March 25, only to open on March 28 at $46,725.
The resulting “gap” could very well be “filled” based on historical precedent, meaning Bitcoin would see an additional $2,000 drop.
Nevertheless, The popular Twitter account @CivEkonom noted that an earlier “stealth” gap from last year between $52,000 and $54,000 also remained open.
“Gaps always fill in CME Bitcoin futures”, commented.
all according to plan
Meanwhile, the retest fell into the short-term game plan for some popular traders.
In an update of the day, Anbessa said he was also in favor of a return to the mid-$44,000 range, while only a deeper move would challenge his bullish outlook thus far.
#bitcoin Gameplan Update ✔️
Following green projection:
-Resistance hit after 27% bounce from channel support
– 360MA HTF target hit (slightly above)
-channel breakoutNow:
– green projection stays in tact if S/R flip above $44,333
-prefer retest, patience here @ resist pic.twitter.com/sjzUdeduF9— AN₿ESSA (@Anbessa100) March 28, 2022
#Bitcoin Game Plan Update ✔️
Next green projection:
– Hit resistance after 27% bounce from channel support
– Hit the MA HTF target of 360 (slightly above)
– channel breakNow:
– green projection remains intact if S/R settles above $44.333
– I prefer a retest, patience here
Cheaper coins would further favor late-March top buyer Blockchain protocol Terra, whose inflows reached 30,000 BTC on March 31.
In the meantime, crypto cross sentiment also continued to adjust lower, the Crypto Fear & Greed Index reaching “greed” territory for the first time in 2022.
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