The recent decline in the prices of Bitcoin (BTC) and Ethereum (ETH) has revived expectations of a short-term downturn in the cryptocurrency market. Jiang Zhuoer, the founder of Lebit Mining Pool, also known as B.TOP, noted that both major cryptocurrencies have fallen below their upward price levels.
Jiang Zhuoer stated in a social media post that the downward break of Bitcoin and Ethereum's upward channels sends a negative signal from a technical perspective. Zhuoer also noted that the closure of ETF markets in the U.S. over the weekend has temporarily removed potential pressure from institutional buyers on spot Bitcoin and Ethereum ETFs.
The prominent figure claimed that current conditions are unfavorable for long-position investors and warned of a possible start of a new downtrend in the market.
On the other hand, Coinglass data indicates that Bitcoin's price may face significant liquidation surges in the near term.
According to the data, if Bitcoin's price falls below $76,000, the total liquidation volume of long positions on major centralized cryptocurrency exchanges could reach approximately $797 million.
Conversely, it is claimed that if Bitcoin stabilizes and rises above $80,000, there could be pressure on short position liquidations on centralized exchanges of approximately $708 million.
*This is not investment advice.
end-content
