Bitcoin price continues to pull back and appears to be unsupported. How far will it go? The engineer Iván Paz, CEO of Trading Different, shared with Cointelegraph en Español an analysis regarding the price of Bitcoin at the moment.
“Exactly two months ago, on March 9, we were talking about this possible drop in the medium term to the area of 30 thousand USD. We had been emphasizing in the following analyzes about the importance of not relying on any market recovery, since the price was going to be strongly manipulated downwards to harm all those leveraged in long”, said Iván Paz.
“Using the Liquidity Pools in the Trading Different platform, fig. 1 we can see that the price decline is not going to stop yet, and big capitals will continue to manipulate the price with the help of high frequency bots. We see that we have Liquidity Pools, of those leveraged at 5x, in the area of 30 thousand USD and in the area of 27 thousand USD. Therefore, we have to keep these areas in mind to wait for a possible pause and rebound. Meanwhile, all those who have their Stop Loss and Liquidation Points long in those areas will be strongly affected. The market is once again facing an extreme shock, part of its constant and repetitive cycle of sell-offs,” he later added.
(Figure 1)
Iván Paz concluded: “Liquidity Pools are price zones, which indicate, through a mathematical algorithm, where all traders who enter the market over-leveraged could lose. This algorithm developed by the Trading Different team shows us where the price would most likely go, forced by high-frequency bots. These high-frequency bots take advantage of market failures, force the price in one direction, and use Stop Loss and Liquidation Point zones to be able to close out their high-volume winning positions.”
Disclaimer: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information set forth herein should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
Investments in crypto assets are not regulated. They may not be suitable for retail investors and the full amount invested may be lost. The services or products offered are not aimed at or accessible to investors in Spain.