BTC price inches up with US stocks as Bitcoin bulls fight for $65K
2024.07.25 12:34
Bitcoin (BTC) revisited $65,000 after the July 25 Wall Street open as United States equities recovered from their worst day since 2022.
BTC/USD 1-hour chart. Source: TradingView
Bitcoin ticks higher after algo-led sell-off
Data from Cointelegraph Markets Pro and TradingView showed a BTC price rebound following initial sell-side pressure.
This was in the form of trading algorithms, popular trader Skew said on the day, while highlighting one entity in particular whom he dubbed an “aggro seller.”
Source: Skew
“This morning is a great example of liquidity games,” he explained in his latest X update.
“Aggro sellers slammed prices lower before large passive buyers came in. Price momentum is basically just positions covering over and over till closed and then market is net long. So probably another reversion trade later on.”
Skew and others tracked a modest ongoing comeback for US stock markets which had previously seen major losses. The Nasdaq 100 fell 3.6% on July 24, marking its worst day since November 2022, while the S&P 500 slid 2%.
Bitcoin displayed similar behavior overall, hitting local lows of $63,424 on Bitstamp.
BTC/USD vs. Nasdaq 100 1-day chart. Source: TradingView
“Did the bubble just pop?” trading resource The Kobeissi Letter queried in part of the day’s X commentary.
US macroeconomic data releases added to the state of market flux.
The Personal Consumption Expenditures (PCE) Index came in lower than expected — a potential relief for risk assets with reduced spending bolstering the odds of interest rate cuts.
Both initial and ongoing jobless claims were also below expectations, however, pointing to a resilient labor market and reducing market observers’ bets on cuts at the Federal Reserve’s next meeting on July 31.
The latest data from CME Group’s FedWatch Tool confirmed already very low odds of a curveball move from the Fed.
Fed target rate probabilities. Source: CME Group
Trader sets key target for BTC price daily close
Meanwhile, popular trader and analyst Rekt Capital stressed the importance of the current battle to flip $65,000 to support.
Related: Bitcoin ‘massive rally’ due as buy signal hits for 1st time in a year
This level, as Cointelegraph reported, represented the Bitcoin short-term holder realized price.
“Bitcoin is now in the process of retesting the $65,000 level in a volatile manner,” he told X followers alongside an explanatory chart.
“Needs to now Daily Close above $65k (blue) to render the retest as successful and keep price in the $65k-$71.5k region (red).”
BTC/USD chart. Source: Rekt Capital/X
Previously, Rekt Capital estimated that BTC/USD could need only around two months to achieve a new all-time high.
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.
