Bitcoin (BTC) headed back towards $29,000 on April 5 as data showed whale orders guiding price action.
Analysis: BTC Price Push Remains ‘Bear Market Rally’
Data from Cointelegraph Markets Pro and TradingView followed the BTC/USD pair as it reached $28,780 on Bitstamp.
The pair continued to bounce from one-week lows below $27,300 earlier in the week, thanks to rumors surrounding Binance and its CEO, Changpeng “CZ” Zhao.
After recovering $28,000, Bitcoin gained new momentum as Binance order book data showed large buying volume by the “whales”.
$BTC Binance Spots
Keep an eye on the $28K area, those stacked buy walls will either support market buying here or will be pulled later.Supply is consistently being filled in these squeezes.
6K BTC bought in past 1H candle pic.twitter.com/Dv7YzggCDu
— Skew Δ (@52kskew) April 5, 2023
All was not as it seemed to the bulls, however, cautioned tracking resource Material Indicators, as those same traders could be artificially pushing the market higher to sell closer to $30,000.
“This is probably a choreographed attempt to push the range higher in the short term,” affirmed part of the attached comment.
“Personally I’m still treating this as a bear market rally until proven otherwise.”
A impression The subsequent order book with liquidity levels showed the spot price eating into a dense cloud of orders, potentially stranding newcomers who chose to go long on BTC believing the rally can continue.
Others were more hopeful that $30,000 could be reached after being absent from the chart for almost a year.
Among them was Michaël van de Poppe, founder and CEO of the company Eight.
“Bitcoin seems eager to break the crucial $30,000 barrier, while altcoins are waking up too,” said to his Twitter followers that day.
“If Bitcoin does make that breakout, we will likely see a significant breakout across the altcoin board as confidence returns to the markets.”
Analysis account IncomeSharks was similarly bullish on altcoins, in particular, opting to trade BTC exposure for alternatives at current prices.
“I had been waiting all year for it,” he announced.
“If we can sustain this and keep pushing up be prepared to not care what Bitcoin does and do multiple X’s on altcoins. Part of my selling some $BTC to $28,000 is that I want more exposure to altcoins.”
The day before, popular Crypto trader Tony had coincided where liquidity was “moving away” from Bitcoin on the shorter time frames.
ETH must maintain a crucial range high
With that, the largest altcoin Ether (ETH) seemed poised for a $2,000 attack at the time of writing, having gained almost 5% in the last 24 hours.
Analyzing the movements of the ETH/USD pair, now at an eight-month high, DecenTrader noted that funding rates had already been hinting that hikes were on the way.
#Ethereum Funding Rate functioning perfect as a leading indicator for the multiple moves higher. https://t.co/zypZt1kq5M pic.twitter.com/oYadIkIN44
— Decentrader (@decentrader) April 5, 2023
“The target now is for Ethereum to now hold above the top of the range at $1,840,” added Crypto Tony in his own analysis of the ETH/USD pair.
“If we start to close below, we have a deviation and we know what that means.”
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