Key Points
- Bitcoin (BTC) experienced fresh dips below $62,000 on April 16, signaling potential new local lows.
- Large-volume investors are holding off on selling despite the market volatility.
Bitcoin’s value dipped below $62,000 twice during the Asian trading session on April 16, indicating a potential for new local lows. This decline was observed in the context of a generally nervous risk-asset market.
Market Sentiments and Predictions
The day was marked by shaky United States stocks at the Wall Street opening and Bitcoin’s failure to maintain its rebound. A popular trader, Skew, emphasized the importance of Bitcoin remaining above $62K to have any chance of a significant bounce.
The trader also noted a risk-off mood across exchanges, characterized by consistent de-risking and a clear pessimism in the perpetual swaps markets. He suggested that a bullish reaction could occur during European trading hours, but at the time of writing, the market was predominantly moving sideways.
Downside Targets and Whale Activity
Potential downside targets for Bitcoin’s price action were identified, extending to $59,000 for April 16 and below $40,000 in the long term. Monitoring platform Whalemap identified $52,000 and $48,000 as other key levels.
Despite the market volatility, large-volume investors, also known as whales, seemed uninterested in selling. Research firm Santiment reported ongoing increases in exposure from these investors since March.
From March 1, wallets holding between 100 BTC and 1,000 BTC have accumulated nearly 44,000 coins. Larger wallet classes added more than double that tally, even though Bitcoin’s latest all-time high was recorded on March 14.