In a recent turn of events, $BTC Bitcoin experienced a swift drop, with a single hourly candle falling from $114,700 to $110,600.
This nearly $5K price movement effectively filled a lower CME gap, FVG, and liquidity zone that had been forming. 📉
Interestingly, despite this sharp Bitcoin dump, altcoins held their ground and didn't fall as much. 👀
Here's what to watch for:
* If Bitcoin's daily candle closes above $112,600 to $113,000, it could signal a move towards the $120K range.
* However, a close below $112K might indicate further downside, potentially to the $105K level.
This kind of volatility is typical of a bull run—a single candle can cause a sharp drop, but the market often recovers just as quickly. 📈
While Bitcoin fell, Ethereum dipped from its new all-time high of $4,950 to $4,700 before quickly recovering to $4,750. 🔄 This type of price action is often a result of whales and market makers liquidating leveraged positions before pushing the price higher. 🐳
For this reason, it's wise to avoid leverage and stick to holding spot positions. This could be a great time to acquire strong altcoins. Once Bitcoin shows a bit of strength, altcoins are likely to see a significant pump. 🚀
For investors, now might be an ideal time to deploy a small portion of capital (around 10%) into promising coins and use a DCA (Dollar-Cost Averaging) strategy if the market continues to drop. ✅