Bitcoin (BTC) survived another night without breaking the $20,000 level on June 17, as the $14,000 level consolidated as a likely bottom.
A trader plans to go “all in” on BTC at $14,000
Data from Cointelegraph Markets Pro and TradingView showed the BTC/USD pair fell as low as $20,220 on Bitstamp overnight before rallying as high as $1,200.
The pair remained shaky but within a tight range as market participants waited to see how long $20,000 would hold.
The picture was complicated by growing concern over Three Arrows Capital investment fund and others, as rumors claimed the former was seeking a bailout after failing to meet margin call obligations.
As Cointelegraph reported, the contagion manifested itself in institutional investment products, including the Grayscale Bitcoin Trust (GBTC).
analyzing “worst case” scenario, meanwhile, popular analyst Venturefounder began to put more faith in $14,000, down 80% from current all-time highs of $69,000.
“Worst case scenario in my opinion BTC at $20,000 is the new $30,000,” read one of two tweets on the subject.
“The speed of the $20,000 capitulation surprised me a bit, I thought it would have taken longer. But knowing the macro narrative (stock sell-off, QT wiping out liquidity, big players like 3ac dumping), it makes sense.”
A second post concluded:
“That said, I maintain my most bearish BTC downside target is $14,000, even if it goes lower, I don’t think it will hold lower for any significant period of time. I’m buying lower, but $14,000 = WITH ALL to Bitcoin for myself, I’ll sell everything I own and put it in BTC.”
Between the current spot price and that target are areas where whales had purchased significant amounts of BTC in the immediate aftermath of the March 2020 COVID-19 market crash.
As noted by on-chain monitoring resource Whalemap, these potential support “bubbles” were at $19,000, $16,000, and $14,000, respectively.
3 bubbles 3 supports pic.twitter.com/Gd94C3nq9n
— whalemap (@whale_map) June 16, 2022
As Cointelegraph reported, other BTC price bottom predictions go as high as $11,000.
DXY Weakness Could Push Bitcoin to $23,000
At the macro level, the modest gains in US stocks at the open on Wall Street took a backseat to the unwelcome rebound in dollar strength.
The US dollar index (DXY), After coming off its last two-decade highs, it came back with a vengeance to give risky assets no respite on the day.
At the time of writing, DXY was trading near 105 and still rising from intraday lows of 103.5.
Nonetheless, popular Crypto trader Ed still expected the week’s highs to remain unchallenged and DXY to drop once again. This, he told Twitter followers, should allow the BTC/USD pair another chance to hit $23,000.
That was close, now expecting another leg lower for $DXY which should be fueling #BTC to 23k pic.twitter.com/6Mt8UNywpS
— Ed_NL (@Crypto_Ed_NL) June 17, 2022
It was close, another leg lower is now expected for $DXY which should push #BTC to 23,000
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