Bitcoin price dip below $60K sparks most exchange buying since 2022
2024.10.03 10:40
Bitcoin (BTC) dipped below $60,000 at the Oct. 3 Wall Street open as exchanges saw flash buyer demand.
BTC/USD 1-hour chart. Source: TradingView
Bitcoin exchange users “buy the dip” at $60,000
Data from Cointelegraph Markets Pro and TradingView showed new local BTC price lows of $59,860 on Bitstamp.
BTC/USD continued to feel pressure from geopolitical uncertainty focused on the Middle East while failing to claw back losses from earlier in the week.
Reacting, traders remained torn between further downside and $60,000, acting as a definitive recovery zone.
“Anyone bullish into October is on the WRONG SIDE,” popular trader and analyst Toni Ghinea wrote in his latest X post, predicting $56,000 as the next BTC price target.
Ghinea had previously eyed $54,000 or lower as the ultimate goal for the current downturn.
BTC/USDT 1-day chart. Source: CrypNuevo/X
Among those seeing the potential for the return of the uptrend, meanwhile, was popular trader CrypNuevo.
“We reached exactly $60,000 psychological level,” he told X followers.
“It would make sense to drop slightly below it to hit stop-losses and some high lev. liquidations before a reversal. Also, if we see $59k even if it’s for a few hours, retail will start to panic.”
BTC liquidation heatmap (screenshot). Source: CoinGlass
A look at order book liquidity, as presented by monitoring resource CoinGlass, revealed bids increasing just below the $60,000 mark at the time of writing.
Data from onchain analytics platform CryptoQuant confirmed that buyer interest among exchange users was already in full swing.
In one of its Quicktake blog posts on the day, contributor CryptoOnchain captured what was described as the largest aggregate withdrawal from exchanges since the 2022 bear market.
“On-chain data shows an increase in Bitcoin outflows from exchanges – all three 30-, 50-, and 100-day moving averages show this,” the post commented.
Bitcoin exchange netflows (screenshot). Source: CryptoQuant
Analysis sees return of BTC price “Uptober rally”
Macroeconomic data released on the day in the form of United States jobless claims meanwhile delivered few surprises.
Related: 3 signs that Bitcoin’s Q3 close was bullish
Unemployment remained low, boosting faith in the labor market — something which observers considered could, in turn, bolster both risk-assets and flagging crypto.
“We believe this weakness is temporary, given the strong correlation between crypto and U.S. stocks. As U.S. equities recover, crypto is likely to follow. This correlation highlights that macroeconomic factors are currently the main drivers of risk asset prices,” trading firm QCP Capital concluded in its latest bulletin sent to Telegram channel subscribers.
“With the ADP payroll report beating expectations, tomorrow’s non-farm payroll report will be key in confirming a strong U.S. labor market. A combination of expected rate cuts and labor strength could boost risk assets.”
QCP added that it expected Bitcoin to enjoy a typical “Uptober” in terms of price performance, with upside returning in time for the end of the month.
“Despite Middle East tensions impacting Bitcoin during its historically strong month, we see this dip as temporary and expect the ‘Uptober’ rally to prevail,” it stated.
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.
