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Analyst Identifies Key Bitcoin Support to Watch, Targets $220K Upon Recovery

Mark Brennan
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Analyst Identifies Key Bitcoin Support to Watch, Targets $220K Upon Recovery

Market watcher Philip from TradingView highlights Bitcoin long-term strength, calling attention to a key support level and potential growth to new all-time highs.

Bitcoin’s price has been fluctuating in recent days, with the cryptocurrency seeing a sharp decline followed by immediate signs of stabilization. On April 2, Bitcoin traded around $87,000, but by April 7, it had dropped to about $74,000. 

The crypto asset has since recovered to over $77,000, currently sitting at $79,131.11. This marks a 3.85% increase over the past 24 hours, although it still reflects a –5.27% decline over the past week.

Bullish Signals Amid Market Weakness

Despite the broader market experiencing significant sell-offs, Bitcoin’s resilience has not gone unnoticed. Analyst Philip, from TradingView, points to Bitcoin’s strength as a positive sign. 

He noted that, while the stock market continues to decline, Bitcoin and many other cryptocurrencies are holding strong. This behavior suggests bullish strength, as Bitcoin has held its ground, even amid the market’s downward movement. 

Bitcoin 1M Chart Philip
Bitcoin 1M Chart | Philip

Philip’s chart analysis shows that, historically, Bitcoin has experienced periods of consolidation followed by significant price increases. He draws attention to past all-time highs, including the $15,000 peak in late 2017 and the more recent $59,000 high in 2021. 

Philip highlighted Bitcoin’s ability to break above key resistance levels, then retest those levels as support, a classic sign of a strong market.

Moreover, Philip emphasized that the overall macro trend is still pointing toward higher prices. The $70,000 mark is particularly noteworthy, as it has been identified as a key level to monitor. 

Ultimately, Bitcoin has previously broken above resistance levels, and such retests have often preceded bullish surges. Consequently, Philip’s chart indicates optimism, indicating that Bitcoin could eventually reach levels between $170,000 and $220,000.

Bearish Sentiment from Another Analyst

On the other hand, analyst Daniel has a more cautious outlook on Bitcoin’s short-term performance. Daniel highlights that Bitcoin is currently trading within a descending channel, a pattern that suggests a bearish market structure. 

Bitcoin 1D Chart
Bitcoin 1D Chart | DanielM

After Bitcoin’s rejection from the upper boundary of this channel, the price retraced to a support zone around $78,000. 

Daniel suggests that this support level may not hold if selling pressure persists. A breakdown below this zone would likely push Bitcoin price toward the $70,000 range, which is in line with the lower boundary of the descending channel.

He also warns that, unless there is a major shift in market momentum, the overall direction remains bearish. As such, traders should watch for confirmation of further price declines, such as lower highs and weak bullish pullbacks. Daniel also points to the importance of volume on red candles, which could provide further confirmation of bearish sentiment.

Here Are Projected Timelines for Dogecoin Price to Range From $1 to $5 

Lele Jima
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Here Are Projected Timelines for Dogecoin Price to Range From $1 to $5 

Multiple entities, such as Changelly and ChatGPT, are bullish on Dogecoin, predicting potential timelines for DOGE to clinch lofty targets of $1 – $5. 

Dogecoin (DOGE) is gradually recovering from the Monday crash that sent its price to $0.1315, representing a drop of 72.8% from its December 8 peak of $0.4835. Other prominent crypto assets, including Bitcoin and Ethereum, also significantly declined yesterday. 

Interestingly, DOGE has started recovering from the huge dip, with its price skyrocketing 15.89% from its daily low to $0.15. Despite the surge, DOGE is still down 79.33% from its all-time high (ATH), registered on May 8, 2021. 

While DOGE is far below its ATH, investors are still optimistic about a major rally in the future. They believe that DOGE could hit new ATH targets within the $1 to $5 range. 

DOGE Path to $1–$5

DOGE is trading at $0.1524, with a market cap of $22.67 billion. Its trading volume has spiked 71.25% in the past 24 hours to $3.13 billion. 

Hitting the targets of $1, $2, $3, $4, and $5 would demand DOGE to surge 556%, 1,212%, 1,868%, 2,524%, and 3,180%, respectively. At these targets, DOGE’s valuation will range between $148.76 billion and $743.81 billion. 

Potential Timeline for Dogecoin Surge to $1 – $5 

As this optimism gained momentum, The Crypto Basic consulted several sources, including ChatGPT and Changelly experts, to ascertain when DOGE could hit these targets. 

$1 Target Timeline 

Experts at Changelly predict that DOGE will hit the $1 target by April 2030. They suggest that DOGE would reach a maximum target of $1.02 by then, with the minimum price set at $0.867. 

However, popular AI chatbot ChatGPT speculates that Dogecoin will clinch the $1 target sooner, setting the estimated timeline around late 2025 to early 2026. ChatGPT assumes that the bull market must have gained traction by then, with strong retail enthusiasm driven by social media buzz. 

The chatbot also expects Elon Musk to contribute immensely to DOGE’s growth through social media mentions or business integration. 

$2 Timeline 

ChatGPT expects this target to materialize by mid to late 2026, driven by altcoin season, broader meme coin adoption, and several tech giants like X adopting DOGE as a payment method. 

However, Changelly believes DOGE will clinch the $2 target by February 2032, seven years from now. The exchange’s analysts expect DOGE to rise to a minimum price of $1.73 and a maximum target of $2.06 by then. 

DOGE to $3 – $4 Timeline 

Further, ChatGPT expects the $3 – $4 price target to play out between 2027 and 2028. The chatbot assumes that strong institutional interests alongside real-world utilities will drive Dogecoin’s potential surge to the target.

It also mentions Dogecoin’s exposure to exchange-traded funds (ETFs) as another catalyst that would drive its price to the $3 to $4 mark. It bears mentioning that asset managers like Bitwise and Grayscale have filed to launch a spot DOGE ETF in the U.S.

Meanwhile, Changelly analysts predict that DOGE will clinch the $3 target by February 2033 and $4 by November 2033. 

Timeline for DOGE Surge to $5 

Lastly, ChatGPT predicts that DOGE will clinch the $5 target under an extremely bullish scenario in which the token is recognized as the native currency of the internet.

If this happens, the chatbot expects DOGE to be integrated into top projects, including Starlink and gaming platforms. 

Based on these assumptions, ChatGPT predicts that DOGE will clinch the $5 price target between 2028 and 2030. However, Changelly believes it will take much longer before DOGE reaches the milestone, setting a timeline of June 2034, nine years from now. 

Ripple Releases Video Featuring Cardano Logo as Intro: Is Something Brewing?

Elendu Benedict
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Ripple Releases Video Featuring Cardano Logo as Intro: Is Something Brewing?

Discussions dominated the XRP and ADA community after Ripple released a video on tokenization, but starting with the Cardano logo.

Cardano and Ripple have long been teasing a partnership. Although none has materialized yet, a recent development has fueled optimism among enthusiasts that something may indeed be brewing.

Why Ripple’s Tokenization Video Is Trending

In a short video now trending on X, cross-border payment giant Ripple identified the opportunity that asset tokenization offers. It teased the real-world asset (RWA) tokenization sector as the next big thing amid growing adoption by financial industry players.

The one-minute video highlighted how bringing physical assets on-chain is slowly becoming an industry standard. It reduces bond issuance costs by 60% and accelerates settlements from days to seconds. Additionally, Ripple noted that the building momentum on RWA tokenization could see the sector manage over $18.9 trillion in tokenized assets by 2033.

While this looked like a regular clip officially promoting tokenization, the XRP and Cardano communities spotlighted a fine detail of the video. Ripple used Cardano’s logo at the start of the video, fueling optimism that something could be brewing between the two blockchain ecosystems.

Cardano Logo Features in Ripple Tokenization Video
Cardano Logo Features in Ripple Tokenization Video

Did Ripple Just Confirm a Cardano Partnership?

A few years back, a partnership between Cardano and Ripple would have seemed illusive. Founder Charles Hoskinson was once critical of the XRP ecosystem and engaged in a slugfest with its community over allegations connected with the US Securities and Exchange Commission’s lawsuit against Ripple in 2020.

Although Hoskinson later apologized, Cardano’s relationship with Ripple has generally been mild. However, both parties have switched gears recently, with prospects of a possible partnership gaining momentum.

Yesterday’s video further fueled the speculations, with the Cardano logo’s appearance suggesting that Ripple may have confirmed an imminent collaboration. Moreover, George Tung, a prominent crypto pundit and owner of CryptoRus, shared this sentiment.

In a clip posted by Cardano bull Angry Crypto today, Tung noted that something is brewing between the two ecosystems. He mentioned in the podcast that the partnership may finally come to the limelight possibly this month or in May.

In the meantime, none of the chains have officially commented on the video or the timeline for the teased partnership, leaving the video’s meaning as mere speculation.

Teucrium Set to Launch First XRP ETF in the US 

Lele Jima
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Teucrium Set to Launch First XRP ETF in the US 

Popular ETF issuer Teucrium is set to launch the first-ever XRP exchange-traded fund in the United States. 

The Crypto Basic reported the development on its X handle, noting that the fund will debut today. Notably, the Teucrium 2x Long Daily XRP ETF will list and trade on NYSE Arca under the ticker XXRP.

This comes after NYSE Arca certified the listing and registration of the ETF yesterday, paving the way for its imminent launch on the trading platform. According to the fund’s prospectus, the ETF comes with a management fee of 1.89%. 

Mechanics of Teucrium XRP ETF 

Teucrium designed the ETF to deliver 2x (twice) the daily performance of XRP. This indicates that if XRP delivers a daily gain of 3% on a given day, the ETF would return 6%. In contrast, if XRP closes the day with a loss of 2%, the ETF’s value would plunge by 4%. 

The mechanism of doubling XRP’s daily performance categorizes XXRP as a leveraged product that inherently offers higher rewards and risks. 

The ETF issuer will reference multiple benchmarks to determine the XRP pricing for its swap agreements. They include the pricing from spot XRP ETFs, the CME CF XRP-Dollar Real Time Index, and the CME CF XRP-Dollar Reference Rate. 

It bears mentioning that XRP has not launched a spot ETF in the U.S. yet. Hence, the XXRP ETF will initially base its swaps on the prices of XRP ETPs launched in Europe, including the WisdomTree Physical XRP ETP and the 21Shares XRP ETP. 

Top Community Figure Highlights Risks 

Meanwhile, popular XRP community figure Crypto Eri highlighted certain risks associated with the ETF. According to Eri, the fund does not invest directly in XRP, unlike other XRP-related exchange-traded products. 

She emphasized that the issuer designed the ETF as a short-term trading vehicle, focusing on delivering daily results. Hence, it should only appeal to traders monitoring their positions closely and frequently.  

Further, she explained how XRP’s volatility could result in significant losses regardless of whether the price stays flat for a year. According to her, if the XRP price stays flat for a year but volatility spikes 25%, the fund risks losing 6.1% of its value. Similarly, a 75% volatility translates to a 43% loss, while a 100% volatility could lead to a loss of 63.2%. 

Investors Remain Confident About Spot XRP ETF Approval

In the meantime, investors anticipate the potential launch of spot XRP ETFs in the U.S. As previously reported, multiple asset managers, including Bitwise and Canary, seek to launch spot ETFs tied to XRP. 

So far, the SEC has acknowledged most XRP ETF filings and is deliberating on whether to approve the funds for launch. Investors believe the SEC will approve at least one spot XRP ETF this year. 

Data from Polymarket shows that the odds of an XRP ETF launching by the end of this year stands at 75%. 

Leading Wallet Says $1K in XRP Won’t Make You Rich Even if XRP Reaches $10

Abdulkarim Abdulwahab
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Leading Wallet Says $1K in XRP Won’t Make You Rich Even if XRP Reaches $10

In a recent tweet, Atomic Wallet, a well-known self-custodial crypto wallet provider, weighed in on the potential returns of investing in XRP. 

The tweet argued that while XRP’s price could rise from $2 to $10, investing $1,000 wouldn’t make anyone a fortune.

$1K in XRP Won’t Make You Rich

Atomic highlighted that if an investor put $1,000 into XRP at $2 per token, they’d acquire 500 tokens. Should the price soar to $10 per token, those 500 tokens would be worth $5,000.

Effectively, this acquisition would yield a profit of $4,000—not the kind of “get-rich-quick” scenario many might expect.

The tweet highlights that substantial returns in the market often require significant initial investments. For context, those who would make $1 million from XRP at a $10 price would need to hold 100,000 XRP. This portfolio would cost around $200,000 to acquire today—a pricey sum for many.

Meanwhile, an alternative path could be holding XRP over the longer term, anticipating more exponential price movement, as historical data suggests.

Atomic Wallet’s critique of small investments being incapable of making holders “rich” generated heated arguments among XRP loyalists. Some viewed it as a deliberate attack on XRP investments, redirecting their criticism toward Atomic Wallet and pointing out potential flaws in its security services.

On the other hand, some urged Atomic Wallet to consider the potential of small investments in XRP from a long-term perspective, such as acquiring tokens at $0.50 per token and holding for five years.

$1K Investment from a Long-Term Perspective

Notably, XRP last traded at $0.50 five months ago, in November 2024. At the time, $1,000 could buy 2,000 XRP tokens.

The five-year performance of XRP is uncertain. However, influential voices in the crypto scene have made various predictions, from bearish to bullish. The most recent commentary came from asset manager Bitwise.

Specifically, it argued for a super bull case of XRP reaching $30 in five years. In this scenario, 2,000 XRP tokens would be worth $60,000, which may still not be life-changing for many.

Meanwhile, CryptoCharged’s Chief Operating Officer, Matthew Brienen, speculated that XRP could reach $100 to $1,000 in ten years. In this hypothetical scenario, 2,000 tokens could be worth anywhere from $200,000 to $2 million.

However, Bitwise also argued for a bear case where XRP could fall to $0.13 in five years. In this bleak scenario, 2,000 XRP would be worth just $260.

Notably, the days of accumulating XRP cheaply at $0.50 are now behind. Investors now have prices around $2 to enter, which effectively limits acquisition potential and may lengthen the wait time for life-changing returns.

Dogecoin Price Analysis: Will DOGE Recovery Hit $0.17?

Albert Brown
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Dogecoin Price Analysis: Will DOGE Recovery Hit $0.17?

Dogecoin rebounds 15% after Black Monday, but rising short positions and bearish indicators suggest strong resistance near $0.15.

As the crypto market experiences a quick V-shaped reversal following Black Monday, meme coins are gradually gaining momentum. The total meme coin market capitalization has risen by 10%, reaching $42.32 billion, with Dogecoin leading the charge.

Currently, Dogecoin is trading at $0.1501, showing a significant recovery of nearly 15% over the past 24 hours. With a lower price rejection indicating the underlying dominance of bullish players, the question remains: Will Dogecoin be able to bounce back from the $0.15 resistance?

Dogecoin Price Analysis Reveals Rising Reversal Chances

The daily chart shows that the Dogecoin price trend failed to surpass the 23.6% Fibonacci level at $0.1781. After an 11% drop on Sunday, Dogecoin formed an evening star pattern.

Dogecoin Price Chart
Dogecoin Price Chart

Under bearish pressure, Dogecoin formed a swing low at $0.13, marking its lowest trading price in the past six months.

However, the swift turnaround in the crypto market led to a rapid recovery for Dogecoin, forming a Doji candle. During the pullback, the bearish engulfing candle from Sunday broke through the critical previous swing low at $0.15397.

This breakdown triggered sell signals in multiple technical indicators. The MACD and signal lines have formed a bearish crossover, with negative histograms making a comeback.

Moreover, the 100-day and 200-day simple moving averages have also crossed negatively. As a result, the technical indicators continue to present a bearish outlook.

In the event of a bullish revival above the $0.1397 horizontal support level, the uptrend could challenge the 23.6% Fibonacci level at $0.1781. On the other hand, a bearish extension could see Dogecoin test the $0.10 psychological level.

Short-Term Surge in Short Positions Warns of Further Pullback for Dogecoin

As Dogecoin’s price bounces back, bullish traders are increasing their positions in Dogecoin futures. The open interest has surged by 10.54%, reaching $1.37 billion.

Dogecoin Derivatives
Dogecoin Derivatives

Currently, the funding rate stands at 0.0055%, indicating bullish sentiment. However, the long-to-short ratio has been on the decline over the past 24 hours.

Dogecoin Long/Short Ratio Chart
Dogecoin Long/Short Ratio Chart

The sudden drop in the long-to-short ratio from 1.0555 to 0.8591 reflects a significant shift in positions, with long positions increasing from 48.65% to 53.79%. This suggests that the derivatives market shows a growing bearish sentiment amid heightened volatility.

Trump’s World Liberty Financial Plans Airdrop to Holders

Albert Brown
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Trump’s World Liberty Financial Plans Airdrop to Holders

World Liberty Financial (WLFI) is preparing to test its on-chain airdrop system by distributing the USD1 stablecoin to current WLFI token holders. 

This proposal ensures the smooth functionality of the airdrop infrastructure. A fixed amount of USD1 will be distributed per wallet. The test aims to reward early supporters while providing a live environment to validate the airdrop system. 

The project intends to distribute this stablecoin to holders on both Ethereum and BNB chains. Notably, the total amount will depend on the number of eligible wallets and the project’s budget.

Airdrop Details and Eligibility

The USD1 stablecoin will be distributed via an on-chain airdrop system on Ethereum’s mainnet. WLFI token holders who meet the eligibility criteria, yet to be defined, will receive the USD1 stablecoin.

However, despite the positive move for early adopters, World Liberty Financial reserves the right to modify or terminate the airdrop at any time. The company has also stated that the timing of the airdrop will be at its discretion.

This move comes as part of the company’s plan to boost visibility and awareness of the USD1 token before its broader market introduction. The test will also enable WLFI to assess the readiness of its infrastructure and ensure the proper functionality of the system in real-world conditions.

USD1 Stablecoin and Its Market Impact

The USD1 stablecoin was deployed last month on Ethereum and BNB Chain, with blockchain data revealing that the token’s supply stood at 3.5 million on each chain. Notably, market maker Wintermute and crypto custodian BitGo were involved in the token’s launch. 

Despite the issuance of the token, the WLFI team indicated that it was not yet available for trading. The USD1 token’s release aligns with broader regulatory movements as stablecoin regulations, spearheaded by the Trump administration, continue to develop. The government seeks to promote the further adoption of U.S.-based stablecoins.

Charles Hoskinson Says Bitcoin on Cardano Is Closer Than You Think

Mark Brennan
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Charles Hoskinson Says Bitcoin on Cardano Is Closer Than You Think

Cardano founder Charles Hoskinson revealed that integration of Bitcoin on Cardano will be demonstrated live at the 2025 Bitcoin Conference. 

This announcement has triggered massive interest in the crypto community, as the integration marks a crucial step towards bridging two of the most influential blockchain ecosystems.

A Vision for Seamless Blockchain Interaction

For some time, speculation about the possibility of Bitcoin’s native functionality on Cardano has circulated. With Hoskinson’s confirmation, this once-theoretical integration is now becoming a reality. 

This information came during a live stream last December, where he presented insights into Cardano’s plans. He specifically highlighted active coordination with wallets and external protocols to enable the integration.

He emphasized that the integration process does not require any formal governance proposal or community vote, as it aligns with Cardano’s broader roadmap.

This decentralized approach, according to him, allows the development teams to move quickly and independently, accelerating interoperability features. Notably, Hoskinson made it clear that the initiative is being driven by technical teams and ecosystem partners.

Cardano’s focus on scalability and sustainability, supported by peer-reviewed research, has set the foundation for this major development. The integration seeks to leverage Bitcoin’s robust security features while expanding Cardano’s ecosystem through enhanced interoperability.

By enabling Bitcoin to interact with Cardano, the initiative promises to provide enhanced cross-chain capabilities, potentially making it easier for decentralized finance (DeFi) applications and assets to flow seamlessly between networks.

Trustless Bridges and Layer 2 Solutions

Hoskinson has long advocated for a multi-chain future, and the integration is a product of this vision. As mentioned in his interview with Scott Melker, one of the key elements of this development is the creation of a trustless, recursive bridge between Bitcoin and Cardano. 

This will allow both networks to interact, with Bitcoin serving as a secure anchor for transactions while Cardano handles smart contract execution and DeFi operations.

Additionally, Cardano’s Hydra Layer 2 solution will help in improving transaction speeds and lowering costs. The Layer 2 solution, when combined with Bitcoin’s Lightning Network, will address the challenges of high transaction fees and slower speeds typically associated with Bitcoin.

Enhancing Interoperability with Other Blockchains

Hoskinson’s vision for this integration also includes improving Cardano’s role as a central hub for cross-chain interoperability. While Bitcoin may not seamlessly interact with other blockchains like Ethereum or Solana, Cardano could bridge these gaps, enabling the transfer of assets and liquidity between various networks.

Meanwhile, Cardano’s Midnight project would look to further enhance privacy features. With plans for private Bitcoin transactions, Midnight will also provide tools for legacy system integration and real-world asset tokenization.

Key Cardano Contributor Donates $460,000 in ADA to the Treasury Following New Feature Launch

Elendu Benedict
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Key Cardano Contributor Donates $460,000 in ADA to the Treasury Following New Feature Launch

A key developer in the Cardano network has received accolades for his transparency and recent $460,000 in ADA donation to the ecosystem’s treasury.

The donation particularly caught the attention of Cardano proponents due to its origin and the manner in which the donor made the move. Sebastien Guillemot, one of the biggest contributors to the Cardano ecosystem and co-founder of Palma Studio and dcSpark, announced yesterday that he has donated thousands of ADA to the Cardano Treasury.

Specifically, he and his firm bought and transferred 685,165 ADA to the community-managed Cardano Treasury in a move perceived as bullish for the long-term sustainability of the ecosystem. In a tweet, Guillemot provided further details of the $460,000 worth of donations, noting that $400,000 was a loan and $60,000 was accumulated interest.

Further Details of the Treasury Donation

The dcSpark co-founder noted that he acquired the donated tokens a few days back at an average cost of $0.67. However, the ADA’s worth in dollars has depreciated after Cardano plummeted to $0.58 because of the global market’s sideways trend.

Nonetheless, Guillemot emphasized his focus on supporting the course of the Cardano ecosystem through the donation. For him, the positive impact of acquiring ADA and adding to the ecosystem’s treasury superseded the decline.

Meanwhile, the Cardano developer had intended to add his quota to the Treasury a long time ago. However, due to apparent impediments, he has not done so. Nevertheless, he calculated the accrued interest monthly on a 6% APY basis for fairness, culminating in the $60,000 added to the donation.

New Feature Enabled Treasury Donation

Interestingly, the donation was possible due to the recently launched treasury donation feature on the Cardano ecosystem. For context, Cardano’s entrance into the Conway era allowed interested parties to donate directly to the treasury through preset steps.

Meanwhile, the developer announced that dcSpark has published a new version of its Cardano Rust SDK on GitHub. The upgrade allows users to donate seamlessly to the Cardano Treasury through the platform, further empowering the ecosystem.

Notably, the Cardano Treasury has amassed massive amounts of ADA in its five-year history. According to Cexplorer, the community-managed ecosystem wallet contains over 1.72 billion ADA, worth $1 billion at the current market price.

Bitcoin Struggles at $80K: Can a Double-Bottom Reversal Save the Day?

Albert Brown
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Bitcoin Struggles at $80K: Can a Double-Bottom Reversal Save the Day?

Bitcoin fluctuates near $80k amid rising bearish sentiment. Will this recovery nullify the double-bottom reversal possibilities?

Following Monday’s massive sell-off, global markets are witnessing a quick turnaround, mirroring Bitcoin’s price rebound. After hitting a low of $74,434, the BTC price has experienced a swift bounce-back.

With the lower price rejection, Bitcoin reached a 24-hour high of $80,836. However, the struggle continues to sustain the crucial $80,000 mark due to significant overhead supply.

Currently, Bitcoin trades at a market value of $79,597, struggling for a double-bottom reversal. Will this bullish struggle lead to a bounce-back above the $82,000 mark?

Bitcoin Price Holds Above $75k, Bulls Target $82k Breakout

On the daily chart, Bitcoin’s price trend shows bullish support above a crucial support level. The price zone extends from $75,637 to $76,462, coinciding with the 50% Fibonacci level near $75,500.

The bounce-back suggests a potential extended recovery as buyers maintain dominance at this crucial support. However, due to intense overhead supply, the uptrend fails to reach the 61.80% level at $81,855.

Bitcoin Price Chart
Bitcoin Price Chart

The long wick formation in the intraday candle reflects buyers struggling to maintain momentum. Additionally, due to the prevailing downturn, the 50-day and 200-day simple moving average lines have given a negative crossover, signaling a “death cross” and triggering a sell signal for price action traders.

However, the underlying support for BTC at the 50% Fibonacci level leads to a lower price rejection, hinting at a double-bottom pattern. The daily RSI line supports the possibility of a double-bottom reversal with a minor bullish divergence. Thus, technical indicators and price action analysis suggest a double-edged situation for Bitcoin.

Bitcoin ETFs Daily Outflow Crosses $100M

As fear grips the market, Bitcoin ETFs recorded an outflow of more than $100 million on April 7. The daily total net inflow stood at $109.21 million, with 6 Bitcoin ETFs recording net outflows.

The remaining six ETFs maintained net zero outflows. Grayscale recorded the largest outflow, $74.01 million, followed by Invesco, $12.86 million. The other four ETFs experienced outflows of less than $7 million.

Bitcoin ETFs
Bitcoin ETFs

Will Bears Crash Bitcoin Amid Rising Short Positions?

The surge in volatility is also shaking up the Bitcoin derivatives market, with massive fluctuations in underlying sentiment. Massive liquidations have dropped Bitcoin’s open interest to $51.35 billion, marking a 0.99% drop in the past 24 hours.

However, the funding rate remains positive at 0.0021%. Despite this, short positions have significantly increased over the past 12 hours.

BTC Derivatives
BTC Derivatives

According to the Bitcoin long-to-short ratio chart, short positions have risen from 49.21% to 51.73%. This drop in the long-to-short ratio to 0.9331 signals a bearish sentiment.

As a silver lining, over the past 24 hours, long volume has increased by 34% to reach $98.11 billion, while short volume remains at $97.43 billion, suggesting a significant recovery.

Bitcoin Long/Short Chart
Bitcoin Long/Short Chart

Should You Buy the Dip in Bitcoin?

The increased volatility in Bitcoin prices due to Donald Trump’s tariffs has increased uncertainty in the financial and crypto markets. Currently, the BTC price action analysis suggests a potential double-bottom reversal.

However, technical signals and the derivatives market point to the possibility of an extended correction. Hence, as Bitcoin fluctuates between the 50% and 61.80% Fibonacci levels, it marks a no-trading zone.

A decisive close beyond this range will trigger an entry opportunity for traders. In the case of a bullish breakout, the 78.60% level signals upside potential toward nearly $92,000. However, an extended correction will likely test the $70,000 mark.

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