Reserve

FOMC

Bitcoin

when

Bitcoin&nbsp;faced major selling pressure after the July 29 Wall Street open as sellers firmly rejected a trip to $70,000.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-07/2578a8d5-9cbe-431a-a6b2-42c6d8de80b6.png" alt="BTC price dips 4.5% as US gov’t Bitcoin move raises new sell-off fears" title="">
 <figcaption style="text-align: center;">
 BTC/USD 1-hour chart. Source: TradingView
 </figcaption>
</figure>
<h2 data-ct-non-breakable="true" id="bitcoin-again-fails-to-hold-70-000">Bitcoin again fails to hold $70,000</h2>
Data from <a href="https://subscription.cointelegraph.com/?_gl=1*7499wx*_ga*MTQ0MzQ0NzI4Ny4xNzE2MzY1NTA0*_ga_53R24TEEB1*MTcxNjM2NTUwNC4xLjEuMTcxNjM2Njg2MC4wLjAuMA..">Cointelegraph Markets Pro</a> and <a href="https://www.tradingview.com/symbols/BTCUSD/?exchange=BINANCE" target="_blank" rel="noopener nofollow">TradingView</a> tracked a spate of distribution, which sent Bitcoin (<a href="https://cointelegraph.com/bitcoin-price">BTC</a>)&nbsp;price action down 4.5%.
After slowly gaining throughout both the weekend and first Asia trading session, BTC/USD lost momentum as Wall Street returned, going from local highs of $70,016 on Bitstamp to lows of $66,839.
The move coincided with a fresh transfer from a wallet known to belong to the United States government, involving coins worth around $2 billion.
“Transfer went to a fresh wallet by looks of it which typically is the precursor of OTC related auctions,” popular trader Skew explained in part of his latest X&nbsp;<a href="https://x.com/52kskew/status/1817962195290046678" target="_blank" rel="noopener nofollow">post</a> on the topic, citing data from crypto intelligence firm Arkham.
<blockquote data-ct-non-breakable="true">
 “Keeping an eye on this in case it has real supply impact on price.”
</blockquote>
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-07/f84ed2a0-b7ba-4051-93d4-1987dbdd1ef3.png" alt="BTC price dips 4.5% as US gov’t Bitcoin move raises new sell-off fears" title="">
 <figcaption style="text-align: center;">
 US Bitcoin government wallet transactions (screenshot). Source: Arkham
 </figcaption>
</figure>
Charles Edwards, founder of quantitative Bitcoin and digital asset fund Capriole Investments, struck a weary tone, seeing a repeat pattern of state distribution sabotaging the BTC price uptrend.
“Just when you think all the excess supply dumping is over, the current admin finds another way to screw us,” part of an X response <a href="https://x.com/caprioleio/status/1817966977148928068" target="_blank" rel="noopener nofollow">stated</a>.
Analyzing the latest market moves, Skew confirmed mass profit-taking at the highs across order books.
“That push up from spot takers was met with passive spot selling, hence price didn’t sustain above $70K on LTF,” another X&nbsp;<a href="https://x.com/52kskew/status/1817916554450989494" target="_blank" rel="noopener nofollow">post</a> read. 
The area above $69,000 represents a psychologically significant price point for Bitcoin, which first appeared as its old 2021 all-time high. Since then, it has played host to significant order book liquidity.
The latest data from monitoring resource <a href="https://www.coinglass.com/pro/futures/LiquidationHeatMap" target="_blank" rel="noopener nofollow">CoinGlass</a> confirms that liquidity remains untouched on the day, with price instead dipping to take liquidity below.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-07/ed36f61a-0aef-49fe-a44f-adaf72023d8a.png" alt="BTC price dips 4.5% as US gov’t Bitcoin move raises new sell-off fears" title="">
 <figcaption style="text-align: center;">
 BTC order book liquidation heatmap (screenshot). Source: CoinGlass
 </figcaption>
</figure>
Skew saw additional downside resulting from bulls’ inability to shore up the market at current levels.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-07/0192dde5-f12b-4be7-8ba9-4ba2b3293b23.png" alt="BTC price dips 4.5% as US gov’t Bitcoin move raises new sell-off fears" title="">
 <figcaption style="text-align: center;">
 Source: <a href="https://x.com/52kskew/status/1817963575333593279" target="_blank" rel="noopener nofollow">Skew</a>
 </figcaption>
</figure>
<h2 data-ct-non-breakable="true" id="lower-highs-spark-long-term-btc-price-concern">Lower highs spark long-term BTC price concern</h2>
Among the more conservative responses was that from popular trader Josh Rager, who warned that a succession of lower highs could result.
Related:&nbsp;<a href="https://cointelegraph.com/news/us-national-debt-passes-35t-5-things-bitcoin-this-week">US national debt passes $35T — 5 Things to know in Bitcoin this week</a>
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-07/eeeb4c60-5ff2-4ce9-9601-0eac4e470bee.png" alt="BTC price dips 4.5% as US gov’t Bitcoin move raises new sell-off fears" title="">
 <figcaption style="text-align: center;">
 Source: <a href="https://x.com/Rager/status/1817941724502561102" target="_blank" rel="noopener nofollow">Josh Rager</a>
 </figcaption>
</figure>
“Choppy price action within the orange box until FOMC on Wednesday? Yes, that’s what it seems to be happening so far,” fellow popular trader CrypNuevo continued, referencing the upcoming Federal Reserve meeting on interest rates.
<blockquote data-ct-non-breakable="true">
 “When there is a big event like this FOMC, markets tend to be choppy until the news come out. Big players step in with caution. Not an easy week.”
</blockquote>
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-07/2b8c7792-488e-4638-8a25-5924d755e794.jpeg" alt="BTC price dips 4.5% as US gov’t Bitcoin move raises new sell-off fears" title="">
 <figcaption style="text-align: center;">
 BTC/USDT chart. Source: CrypNuevo/X
 </figcaption>
</figure>
CrypNuevo reuploaded an existing chart showing potential BTC price trajectory around the Fed decision, due on July 31.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

BTC price dips 4.5% as US gov’t Bitcoin move raises new sell-off fears

Table of Contents

Cointelegraph

Andre artikler udgivet 29. jul. 2024

An overview of current news in the crypto space

Pear Protocol Launches Revolutionary Pair Trading Platform on Arbitrum: Backed by Leading VCs

El Salvador proposes crypto payments in trade with Russia

Weekly Article Recap: 7/15-7/19

Bitcoin’s Surge Boosts Solana and Raydium Prices

Crypto Markets Overcome Major Fears

Join our free newsletter for daily crypto updates!