Bitcoin Trader Warns of Major Price Decline to $80,000 Level
A surge in Bitcoin’s price has taken the cryptocurrency to nearly $80,000, sparking mixed reactions among market participants.
BTC/USD 1-Hour Chart: A Weekend Price Surge Like No Other
Data from Cointelegraph Markets Pro and TradingView shows that Bitcoin gained almost $2,000 in a single hourly candle on November 10. This trend is consistent with recent weekend price surges, where bulls tend to take advantage of thin liquidity to drive the market higher.
Skeptics Weigh In: Weekend Price Moves Often Lead to Retracement
However, not everyone is convinced that this surge will be sustained. Popular commentator WhalePanda took to social media platform X (formerly Twitter) to express his skepticism:
"’Weekend moves in low liquidity almost always full retrace btw,’" WhalePanda said.
A Need for Pullbacks: Co-Founder of Material Indicators Weighs In
Keith Allen, co-founder of trading resource Material Indicators, also echoed the need for pullbacks during price uptrends:
"’Of course, weekends are for whale games, and we are in Price Discovery, so at this point, I’m more focused on Weekly and Monthly closes for Bitcoin,’" Allen explained in his latest X post.
BTC Liquidation Heatmap: A Visual Representation of Market Liquidity
According to CoinGlass, the current BTC liquidation heatmap suggests a high risk of price correction.
Analyzing Order Book Activity: Skew Explains the Likely Methodology Behind Current Price Action
Popular trader Skew shed light on the methodology behind large-volume traders driving the market higher:
"These entities drive the market lower with ‘spoof’ ask liquidity, only to have bids filled at an artificial local low later on as a result," Skew explained.
The Process: Spoof Ask Liquidity and Artificial Local Lows
Skew further elaborated on the process:
"Final part is they twap a % into price to create price momentum – this causes algos to bid as well," he said.
New Passive Bids and Increasing Buying Momentum: A Target of $80K?
A fellow X post added that new passive bids moved up soon could support the price and increase buying momentum:
"’Would want to see new passive bids moved up soon to support price & increasing buying momentum in price,’" the post said.
Trader Sees Sub-$50,000 BTC Price Dip Risk: A Concern for Market Participants
Popular trader and analyst Credible Crypto is also concerned about an imminent market U-turn:
"Related: Bitcoin price needs 2 months to return ‘above macro trend’ — Forecast," Credible Crypto noted.
A Target of Under $50,000: A Significant BTC Price Correction
Credible Crypto doubled down on his forecast over the weekend, giving a target of under $50,000:
"To be clear, what I’m trying to say is I think we are likely approaching our top on most alts (and therefore BTC as well) sooner than expected," he stated.
A Major Leg Down: The Potential Consequences of a Price Correction
This correction would result in a major leg down, according to Credible Crypto.
Investment Advice and Disclaimer
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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