Bitcoin (BTC) drifted into major liquidity around February 13 Wall Street opened as the dust settled on United States regulatory news.
BTC traders spread their bids lower
Data from Cointelegraph Markets Pro and TradingView show BTC/USD at $21,476 on Bitstamp, nearly matching the three-week high at the end of the week.
As analysts expect a “choppy” day ahead of key US macroeconomic data, the news that Blockchain company Paxos is being sued by the Securities and Exchange Commission (SEC) added to the market’s nerves.
BTC spot price action is getting closer to the main bid liquidity area in Binance’s order book, which Maartunn, a contributor to on-chain analytics platform CryptoQuant, nicknamed “The Great Wall.”
“‘The Great Wall’ (price support) in Bitcoin is placed at $21,500. This morning some bids have been filled. Thus, the power of the wall has decreased from $25~$27 million to $19 million,” he said.
Maartunn uses data from the monitoring of the Material Resource Indicator, which in his own comments revealed that there is a thinning offer near the top of the cloud of liquidity being repositioned below.
#BTC PA acts as predicted after #Death on the Cross on the Weekly Chart. The bid wall of ~$24.4k is still above the Trend Line. At first glance it looks like liquidity is taken, but with a simple adjustment of the Percentile Volume filter we can see ~$6M has been laddered down. pic.twitter.com/2OGe7tjOpu
– Material Indicator (@MI_Algos) February 13, 2023
In the short term, eyes were on February 14. Consumer Price Index (CPI) print to move risk assets en masse.
“The thought remains the same since the breakdown. I don’t see a high conviction swing longs until 20.3K liquidity is taken out,” popular trading Crypto Chase write in a recent Twitter update.
“Today will most likely be choppy and the CPI should provide the next ‘move’ tomorrow. With that said, my focus today will be on the intraday $ES trade.“
A survey by Daan Crypto Trades partner trading account shows higher or lower market expectations after CPI.
“This is the 4th time in a row that the Sunday pump or quick dump has been re-tracked,” a separate post said. added about overnight BTC price action.
“As you know, this is a very common thing to see and is a reason to always be skeptical of the weekend movement in BTC.”
Stocks, dollar tread water ahead of CPI
US stocks opened the week higher, with the S&P 500 and Nasdaq Composite indexes up 0.4% and 0.6% respectively.
related: First weekly death cross – 5 things to know in Bitcoin this week
The U.S. dollar index (DXY) was undecided at the time of writing, having spent the previous week consolidating after rebounding.
“A big day tomorrow with the release of CPi data 13:30 gmt. The price of DXY appears around the top of the parallel channel with a break defining one way to determine the next big move for Btc Ethereum and other Altcoins,” Matthew Dixon, founder and CEO of crypto. Evai rating platform, summarized about insight.
“The preferred direction is down for the Dollar which will be +ve for BTC.”
The accompanying chart shows the DXY on a 4-hour time frame
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