As the $40K BTC price squeeze fails, Bitcoin experiences the’mother of all consolidations’

Bitcoin’s price is clinging to a zone that has witnessed more on-chain volume than any other in the cryptocurrency’s history.

Bitcoin (BTC) had another brief short squeeze overnight on March 15, with bulls aiming to break through the $40,000 resistance level.

Traders who aren’t inspired by the market’s structure

BTC/USD reached highs just short of the psychological barrier on Tuesday, according to data from TradingView, before reverting to previous levels.

Following news that the European Union had rejected a legislative mechanism to outlaw Proof-of-Work algorithm cryptocurrencies, the now-familiar “Bart” structure emerged.

While the move was large, it did not result in much relief in BTC price movement.

“In the BTC pair, altcoins are once again exhibiting a lot of weakness, as they are decreasing. Bitcoin continues to consolidate. To be honest, these aren’t the finest indicators for the markets.

On daily timescales, Bitcoin remained virtually unchanged, exasperating a market that had been stuck in a trading range for months.

The last rush higher resulted in minor shakeouts, according to data from on-chain monitoring platform Coinglass — BTC liquidations totaled $47 million over 24 hours.

The price movement, based on the daily close, also put an end to prospects of a more optimistic outcome.

$39,000 is the king of on-chain volume

However, when it comes to on-chain measures, Lex Moskovski, the CEO of Moskovski Capital, points out the historical relevance of current spot price levels.

More BTC was traded at roughly $39,000 last month than at any other price point, making March’s conduct “the mother of all consolidations,” according to him.

Accumulation tendencies are continuing to support the strength of the $38,000-$39,000 range, which has become especially popular with whales in the last week.

 

 

Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.

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