Originally published on: November 26, 2024
Bitcoin saw a slight recovery on Nov. 26 after a turbulent day that saw over $500 million in crypto longs liquidated. The price hit a local bottom at $92,600 on Bitstamp, but the bounce was not strong enough to ease concerns among traders.
According to Keith Alan of Material Indicators, the chart does not show strong support for Bitcoin at this level. Trader Skew emphasized the importance of the $92.5K – $92K range, describing it as pivotal for bulls to maintain.
The recent pullback was compared to a previous ATH to initial low pullback by Skew, indicating that $92,500 is a critical price point. Despite the liquidation event, leverage levels remain high, as highlighted by CryptoQuant data.
Asset management firm 21st Capital’s Sina noted that leveraged long positions were swept away during the liquidation, leaving little room for further downside. However, caution was advised by Axel Adler Jr. of CryptoQuant, who warned that overall leverage levels are still elevated.
While the market remains volatile, analysts suggest that Bitcoin could rally towards $100,000 if funding rates stabilize. Traders are advised to conduct thorough research and analysis before making investment decisions.
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