Autor Cointelegraph By William Suberg

Bitcoin (BTC) preserved $20,000 for another day on June 23 with calls for another 20% drop still surfacing.BTC/USD 1-hour candle chart (Bitstamp). Source: TradingViewBitcoin under $10,000 not impossibleData from Cointelegraph Markets Pro and TradingView showed BTC/USD ranging just above the $20,000 mark over the 24 hours to the time of writing.As ever, the behavior reflected moves in United States equities markets, which stayed flat on the day.Remarks by Federal Reserve chair Jerome Powell had provided only brief volatility. Cointelegraph noted that Powell’s Congress testimony provided no new information regarding macro policy.As such, crypto commentators stuck to previous assertions — the outlook was uncertain, they said, but a potential fresh drawdown may only involve a trip to $16,000.”Consolidating $BTC in a broad range and then going up. MDD (maximum drawdown) is not that big like -20%,” Ki Young Ju, CEO of on-chain analytics platform CryptoQuant, wrote in part of a Twitter post. Ki retweeted analysis from popular account Il Capo of Crypto, whose BTC takes had long called for price downside.In a separate post, Ki claimed that “most Bitcoin cyclic indicators are saying the bottom” is in, and that shorting BTC at current levels was therefore ill-advised.”Not sure how long it would take for consolidation in this range tho. Opening a big short position here sounds not a good idea unless you think that $BTC is going to zero,” he wrote.For monitoring resource Material Indicators, however, there was cause to be more risk averse.”At this stage, nobody can say with certainty whether BTC will hold this range or if it will go to sub $10K price levels ever again, but it would be foolish not to have a plan for that possibility,” a tweet argued.”‘Never’ doesn’t age well in crypto. Plan accordingly.”Fed does not plan to “de-COVID” balance sheetIn fresh macro news, increasing pressure on the Eurozone came in the form of surging natural gas prices on a dwindling supply outlook.Related: Bitcoin hodler data hints BTC price ‘really close’ to bottom — analystsIn the United States, meanwhile, Powell delivered fresh comments over the Fed’s monetary tightening policy. The central bank’s balance sheet reduction, he said in comments reported by media sources at the time of writing, now only planned to shave up to $3 trillion off its near $9 trillion of asset purchases.Since February 2020, the Fed’s balance sheet has gained $4.8 trillion, meaning that even after the reductions, it will be higher than its pre-pandemic levels.Federal Reserve balance sheet chart (screenshot). Source: Federal ReserveThe European Central Bank’s balance sheet, meanwhile, hit fresh all-time highs this week despite rampant inflation.The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

Bitcoin (BTC) saw a dramatic change of mood into June 22 as multi-day highs gave way to a fresh dive under $20,000.BTC/USD 1-hour candle chart (Bitstamp). Source: TradingViewBTC could see accumulation below key trendlineData from Cointelegraph Markets Pro and TradingView showed BTC/USD abruptly halting its latest gains to hit lows of $19,947 on Bitstamp.The largest cryptocurrency had passed $21,700 the day before, its best performance since June 16, but momentum waned during Wall Street trading.For popular trader and analyst Rekt Capital, there was danger in BTC/USD being unable to reclaim its 200-week moving average (MA). A classic support line in previous bear markets, Bitcoin had formerly retained the 200-week MA as support with wicks below it characterizing macro price bottoms.“If BTC can’t reclaim the 200-week MA as support… Then one of the scenarios of what could happen would involve downside to new lows before the formation of an Accumulation Range for the first time below the 200-week MA,” he warned.The 200-week MA stood at $22,420 at the time of writing.BTC/USD 1-week candle chart (Bitstamp) with 200-week MA. Source: TradingViewFellow trader Credible Crypto was more optimistic on the short-term perspective, telling Twitter followers that he did not foresee spot price going much lower.About to re-visit our weekly demand level after we bounced off of it over the last few days. Not expecting new local lows here- looking for the GREEN region to hold and for us to put in another local high into the RED resistance region between 22-24k. $BTC https://t.co/FbngeJw8NT pic.twitter.com/F79eokL5W6— CrediBULL Crypto (@CredibleCrypto) June 22, 2022Zooming out, Crypto Tony likewise highlighted the “demand zone” that BTC/USD was now acting in.“On the macro we can see a few things here. We broke down clearly from a distribution range. We are now testing the first demand zone from this range. A reaction is expected, but not a bottom yet in my opinion,” he tweeted. “A wick down to $17k – $15k on the cards.”Whales look to reduce BTC exposureFor the largest BTC hodlers, meanwhile, signs of change were already visible in on-chain data.Related: That’s not hodling! Over 50% of Bitcoin addresses still in profitAccording to on-chain analytics firm Glassnode, on June 20 and 21, Bitcoin whales deposited over 50,000 BTC to exchanges. This followed 58,000 BTC in inflows on a single day on June 13.Overall inflows from whale wallets thus remained elevated on an intraday basis, while still not matching the levels seen during some previous sell-offs.On May 9, for example, the same group sent over 80,000 BTC to exchange accounts, the most since March 2020.Bitcoin whale exchange deposits chart. Source: GlassnodeAs Cointelegraph reported earlier this week, whale buyers meanwhile created a potential major support level just above $19,000.The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.