Originally published on: October 28, 2024
The price of Bitcoin opened the week strong, reaching $72,383 and targeting the $69,000 level. Traders are now wondering if it will break through to new all-time highs before the trading session ends.
The $69,000-$70,000 zone remains a challenging resistance area, as indicated by the sell walls visible on the charts. Recent price surges, including the one on Oct. 28, have been influenced by futures market activity and liquidations.
Futures traders have been opening long positions, driving up the price and forcing short sellers to cover their positions. This has led to increased open interest and spot volumes, but the spot purchasing demand necessary to sustain the breakout is lacking.
Despite bullish efforts to trigger liquidations and push past the resistance level, the absence of spot volumes is causing the breakout momentum to fade. Traders are buying in the spot market during dips but hesitate to push the price higher when approaching resistance levels.
HighStrike’s head of crypto options and derivatives, JJ, noted that the massive sell wall is preventing a breakout beyond $70K. The lack of spot purchasing demand at key levels is contributing to the price peeling back after attempted breakouts.
As Bitcoin continues to face resistance at $70,000, traders are eagerly watching for signs of a breakthrough. The market outlook remains uncertain, with the potential for both further gains and setbacks. Subscribe to our newsletter for critical insights and updates on Bitcoin’s price movements.
Remember, investing in cryptocurrencies involves risks, and readers should always conduct their own research and analysis before making any investment decisions.
