3 price levels critical to the continuation of the Bitcoin bull market

Bitcoin (BTC) price started to consolidate between $ 55-56k after being rejected at $ 61k. Whale clusters data point to a key price level that must be held to avoid falling into the $ 40,000 band.

Whalemap, which monitors Bitcoin whale activity, announced that $ 55,406 is a critical whale support level.

Whalemap analysts stated that if Bitcoin breaks below $ 55,406, its next stop could be $ 47,438.

Bitcoin Price Index: How much is 1 Bitcoin in TL? (BTC TL)

Bitcoin whale clusters. Source: Whalemap

Why are whale clusters critical?

Whale clusters are formed when whales and high-income investors buy and sell Bitcoins and then don’t move those cryptocurrencies.

Whale clusters generally function as support and resistance levels, as whales tend to buy more or sell after correction near entry levels.

This level is seen as an important whale support zone, as Bitcoin currently hovers above $ 55,406. For this reason, Bitcoin needs to hold onto this level to avoid a bigger drop in the short term and the successive liquidation of futures contracts.

Bitcoin funding rates. Source: Bybt.com

Bybt data shows that more than $ 2 billion futures contracts were liquidated between 15-16 March, so the funding rate returned to normal levels.

Considering that the futures market is also zeroing, if Bitcoin can comfortably hold above $ 55,406, the likelihood of a major correction will be reduced.

Whalemap researchers he explained as follows:

“$ 55,406 is a big level we have to hold onto. Otherwise we could drop to $ 47,438. It’s still a strong support. Many whales have bought at this level and are still holding their savings.”

If Bitcoin falls below $ 50,000, there is a great macro support at $ 45,000 and $ 47,000.

Check Also

Prices of this little-known altcoin soared as Bitcoin was rejected at $44,000

Bitcoin (BTC) bulls struggled to push the price above $44,000, but this move proved futile. …

Leave a Reply

Your email address will not be published. Required fields are marked *