Bitcoin is down up to $58,000 In the last 24 hours, I failed to re-hold above the key support at $60,000. Various commentators have suggested that CME change caused this price drop and that BTC can enjoy a relief jump going forward.
CME Gap Causes Bitcoin to Fall Below $60,000
Crypto analyst Daan Crypto posted on X (formerly Twitter) posted that Bitcoin experienced this recent price decline to close the CME gap around the $60,000 range. The CME gap is the difference between the price of BTC in Chicago Mercantile Exchange (CME) market futures between the time the market closed on Friday and reopened on Monday.
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While sharing the Bitcoin CME futures chart, crypto analyst SpeedRacer also referred to the CME gap as the cause of Bitcoin’s recent decline. He said that market makers were using the BTC market in the short term as there was no way they were going to leave the “CME gap of $1650 from the weekend.”
Crypto Ninja analyst too he explained that the recent price decline was caused by the CME gap and even labeled it as “bullying selling.” He assured that everything would be fine, with a market reversal on the cards. Ninja also urged Bitcoin market bulls not to panic, although he slyly admitted that current market conditions enough to make anyone panic.
Fortunately, the worst seems to be over, as Daan Crypto revealed that the CME gap has been fully closed. This suggests that Bitcoin should enjoy a comfortable bounce from its current price level. Crypto expert Michael van de Poppe again confirmed that the CME gap is closed and predict that it is time for BTC to explode.
Crypto analyst Titan of Crypto shared the same sentiment when he revealed that the CME gap has been closed. He wanted that nothing was holding Bitcoin back now and that it was time for the flagship crypto to ship. From the chart shared by the analyst, BTC can go up to $72,000 in its next leg.
The CME Gap May Not Be the Only Problem
Selling pressure Bitcoin is another problem that causes its price to drop. The data from Farside Investors shows that Spot Bitcoin ETFs are still seeing total outflows, and fund issuers must withdraw their BTC capital to realize redemptions.
There is also significant sales pressure from The German governmentwhich appears to be selling its Bitcoin holdings based on the data from Arkham Intelligence. This is more than a concern about the selling pressure that BTC can witness once inactive crypto exchange Mt. Gox begins repaying its creditors about $9 billion in crypto.
At the time of writing, Bitcoin is trading around $58,600, down more than 3% in the last 24 hours, according to the data from CoinMarketCap.
The featured image was created with Dall.E, a chart from Tradingview.com
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