🚀 Bitcoin Nears All-Time Highs but Falls Short: Bulls Liquidated in Flash Volatility 📉

Bitcoin Liquidates Longs in First Attempt to Break Through $69,000 All-Time High BTC Price

Bitcoin traders ignore the ‘triple top’ pattern as the price of BTC halts $150 below $69K.

Source: TradingView

Bitcoin (BTC) came within inches of reaching new all-time highs on March 5, but volatility swiftly liquidated late trades, leaving bulls disappointed. Despite daily gains of $5,000, the psychological importance of the highs became evident, and BTC price trajectory reversed, bringing the market back to the $66,000-area.

Just hours later, flash volatility struck, causing BTC/USD to drop $2,000 in just three minutes. This sudden drop resulted in around $20 million in long positions being liquidated, as reported by CoinGlass. Subsequently, this impacted the record high open interest, although it quickly rebounded to approximately $31 billion at the time of writing.

Coinbase, the largest United States exchange, experienced another outage during this time. Customers’ balances began showing as zero once again, leading to increased criticism. As per James Van Straten, research and data analyst at crypto insights firm CryptoSlate, Coinbase’s technical ability to handle the load was not in question; instead, other factors were likely at play behind the scenes. However, Coinbase swiftly resolved the issue and restored customers’ account balances.

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💭 What’s Next for BTC Price?

Market participants are eagerly discussing whether Bitcoin will break through the final hurdle before price discovery. Some are confident in Bitcoin’s rally, comparing it to the breakout in 2020 that crushed the old $20,000 all-time highs. They believe that once BTC surpasses its previous all-time high, altcoins will also experience a significant surge, aligning with historical precedents.

“One cannot simply mark $69,000 as a ‘triple top’ pattern for BTC/USD,” says trader Jelle. He predicts that the altcoin market will flourish as Bitcoin continues to rally. In conclusion, Jelle encourages everyone to recognize the repeating history and embrace the bullish signs.

🤔 Readers’ Questions Answered:

Q: Why did BTC fail to break through the all-time high?

A: While Bitcoin experienced daily gains of $5,000 and came close to reaching the all-time high, the psychological importance of the highs became a barrier for bulls. The surge in flash volatility led to a sudden drop in BTC/USD and subsequent liquidation of long positions.

Q: Will the record high open interest impact Bitcoin’s future?

A: Although the flash volatility temporarily impacted the record high open interest, it quickly rebounded. The current open interest stands at approximately $31 billion, indicating strong market interest and potential for future price movements.

Q: What caused Coinbase’s outage and why are customers’ balances showing as zero?

A: Coinbase faced another outage, leading to customers’ balances being displayed as zero. The technical ability of Coinbase to handle the load is not in question, suggesting that other factors were likely at play behind the scenes. However, Coinbase quickly resolved the issue and restored customers’ account balances.

📈 Future Outlook, Analysis, and Investment Recommendations:

Based on the current market trends and historical patterns, it is likely that Bitcoin will continue its bullish momentum. Breaking through the all-time high of $69,000 could pave the way for a significant surge in altcoins. Investors should closely monitor Bitcoin’s price and consider diversifying their portfolios to include promising altcoins.

Investment Recommendations: 1. Stay informed about market trends and news. 2. Consider diversifying your portfolio with altcoins. 3. Set realistic price targets and implement stop-loss orders. 4. Consult with a financial advisor for personalized guidance.

References:

• BTC/USD 1-hour chart – Source: TradingView
• “Blocking.net Markets Pro” – Source: Blocking.net
• “TradingView” – Source: TradingView
• “CoinGlass” – Source: CoinGlass
• Altcoin market cap annotated chart – Source: Jelle/X

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