Bulls Giving Up? Massive Bitcoin Bid Wall Removed, What It Could Mean For BTC

Bitcoin has entered the week with upside price action into the mid-levels of its current levels. However, bulls face hurdles as an increase in selling pressure set back BTC’s price from $66,000 to a current price of $64,262 at the time of writing. Bitcoin entered a consolidation zone after a flash crash pushed its price from the high of its current levels to critical support at around $62,500. The bullish sentiment seems to be fading as uncertainty takes over the market. Related Reading | Bitcoin Eyes Fresh Rally, Why Close above $66k Is Important Many traders were expecting a more decisive price action from the benchmark cryptocurrency and a clearer path towards a short-term price target above $70,000 and ultimately $100,000. Macroeconomic variables seem to be playing against BTC’s price rally. The U.S. FED Chair Jerome Powell hinted at the beginning of tapering which could remove liquidity from global markets. In addition, the crisis with Chinese real-state giant Evergrande continues to wreak havoc across the financial sector with many investors fleeting to the U.S. dollar. As seen below, the U.S. Dollar Index (DXY) has been trending to the upside since November 10th. At the same period, Bitcoin took its dive to the lower $60,000s bringing the entire crypto market with it. In the short term, there seems to be an inverse correlation with Bitcoin and the DXY. If the U.S. currency gains more strength, BTC’s price could rev...