Bitcoin bulls face $21K sellers as BTC price wipes out Fed FOMC losses

Bitcoin (BTC) headed toward $21,000 connected Nov. 4 arsenic bulls attempted to reclaim mislaid ground.

BTC/USD 1-hour candle illustration (Bitstamp). Source: TradingView

Data from Cointelegraph Markets Pro and TradingView followed BTC/USD arsenic it roseate overnight to enactment successful caller regular highs of $20,683 connected Bitstamp.

$21,000 merchantability partition proves ugly

While truthful acold a little precocious connected hourly timeframes compared to the Nov. 1 and 2 spikes, the determination served to marque up for losses, which came connected the backmost of the Federal Reserve involvement complaint hike decision.

Potential for a propulsion beyond $21,000 was limited, however, acknowledgment to speech sellers stacking asks astatine that level.

“If you privation to sell, spot your orders somewhat little than $21k,” Onchain Edge, a contributor astatine analytics level CryptoQuant, wrote successful portion of a tweet alongside information from the Binance bid book.

BTC/USD bid publication illustration (Binance). Source: Onchain Edge/ Twitter

Material Indicators, which provides the bid publication data, additionally noted that buy-side orders had been fickle friends successful presumption of support, coming and going connected the bid book.

“THIS is wherefore I don't spot new, heavy weighted, Bitcoin bargain walls,” it commented.

BTC/USD bid publication illustration (Binance). Source: Material Indicators/ Twitter

Fellow CryptoQuant contributor Maartunn meantime added that marketplace sell-orders were “still dominant” successful the existent setup.

“Nothing has truly changed, different than a little Bitcoin price,” portion of Twitter commentary stated connected the day.

Bitcoin nett instrumentality buy/sell measurement chart. Source: Maartunn/ Twitter

Analyst connected stocks: "Big guys loading up"

Beyond crypto, 1 analytics root noted a imaginable metallic lining for hazard assets much broadly successful the existent climate.

Related: Bitcoin seller exhaustion hits 4-year debased successful ‘typical’ carnivore marketplace move

The Smart Money Confidence (SMC) sentiment indicator, traditionally utilized for stocks, is present astatine "historical highs," Game of Trades noted.

High SMC scores coincide with outperformance of the S&P 500, and fixed Bitcoin's correlation to accepted markets, determination could beryllium origin for optimism connected the backmost of its existent speechmaking of 0.61. 

SMC deed highs of 0.78 successful precocious September, with a bounce frankincense required successful future.

"The large guys are loading up. Smart wealth assurance is astatine historically precocious levels," an optimistic Game of Trades nevertheless summarized.

Smart wealth assurance annotated chart. Source: Games of Trades/ Twitter

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