Bitcoin ‘Buy The Dip’ Calls Surge; Liquidity Trends Indicate $107K Magnet
Bitcoin's (BTC) recent decline has raised concerns about further losses, despite social media activity encouraging 'buy the dip'.
- BTC dropped over 3% to $111,590 this week, falling below the 50- and 100-day simple moving averages, which have flattened for the first time since April.
- 'Buy the dip' mentions on social media reached a monthly high, indicating bullish sentiment among retail investors, per Santiment's data.
- Santiment suggests that such mentions can be a contrarian signal, implying BTC's price could continue to fall.
Liquidity Analysis
- Hyblock Capital identifies the largest liquidity cluster at $107,000, possibly attracting BTC's price downwards.
- Order book liquidity shows buy/sell order concentrations, reflecting market depth and potential price stabilization points.
- Smaller liquidity pools are noted at $109,000 and $111,000, indicating possible support levels.