(MENAFN- eTrendy Stock) Michael Pizzino warns of a Bitcoin (BTC) bear trap amid a volume drop with Bitcoin now in consolidation.
The analyst cautions that a notable decrease in volume could signify a withdrawal from the market, potentially heralding substantial market movements. Michael notes Bitcoin's bullish stance in daily analyses, where the market remains robust above pivotal swing tops, sustaining an upward trend across multiple time frames. However, he still warns of the potential for intermediate tops and a subsequent price correction if the market fails to maintain levels above these swing tops.
According to Pizzino, Bitcoin needs to stay above the previous cycle's peak to ensure significant macro support in the event of a downturn, citing a historical pattern where a drop in exchange volume typically precedes a market surge after a phase of price stabilization. This comes as Jason Pizzino also predicts Bitcoin corrections are on the way.
What to Expect From Bitcoin This Easter
Pizzino highlights that the end of February saw a reduced exchange volume without a clear bottoming pattern, implying more time before the market could witness a bullish momentum resurgence. He again references this to the historical patterns, hinting at potential bull market dynamics post-Easter trading weekend. The analyst speculates that market prices might stabilize around $70,000 before the long weekend.
Highlighting Bitcoin's performance during past Easter periods, the analyst notes a trend of market inactivity and tight price ranges leading up to the holiday. Pizzino also highlights exchange volumes as a critical price mover for BTC. Looking at exchanges' stats, 97% of holders are making money at the current price, indicating a strong positive trend.
The concentration by large holders is still at 11%, which suggests that whales don't dominate the coin and there is a healthy distribution among holders. In terms of transaction volume, there have been $154.9 billion in transactions more significant than $100K over the last seven days, indicating high activity among large-scale traders and investors as long-term coin movements also surged.
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