Bitcoin Price News: Whale Buying Could Keep BTC Above $70K in April

Bitcoin (BTC) has retreated by 3.6% below $70,000 as macroeconomic conditions worsened due to the war in Iran.

Analysts no longer expect that the Federal Reserve will cut rates this year, as higher oil prices increase the risk of a spike in inflation levels in the United States.

Data from FedWatch shows that analysts initially envisioned a 25 basis points cut during the June meeting, assigning a 46% probability to this scenario.

However, things have changed, and now that same probability has been reduced to just 4%, indicating a significant shift in market sentiment.

Despite the top crypto’s weakness this year, BTC whales bought a total of 30,000 tokens, worth around $2.1 billion, in March, taking advantage of the latest drop.

This could create a strong floor for BTC at around $65,000, an area from which the token has bounced multiple times during the strongest downturns.

Data from Santiment shows that whales holding between 100 and 1,000 coins bought BTC aggressively during the month, accumulating 50,000 BTC. Meanwhile, larger whales holding between 1,000 and 10,000 BTC distributed the most, dumping 20,000 BTC into the market.

Bitcoin Finds Strong Support at $65,000 and Could Still Rise to $85K

Looking at the daily chart, we can see that the $71,000 level has been a strong sell wall for BTC. The price retreated recently, right after tagging this specific price zone, increasing its relevance from a technical standpoint.

However, we are seeing some granular consolidation between $65,000 and $71,000, and BTC may spend a while trading in that range until the outcome of the situation in the Middle East becomes clearer.

If we break past $71,000, the odds favor a move toward $85,000 in the near term. This would mean a full-blown reversion to the mean, as the 200-day exponential moving average (EMA) currently sits right at that level.

This has been our baseline bullish scenario for BTC. In contrast, a drop below $65,000 would likely push the token to $60,000, and maybe even lower if macroeconomic conditions deteriorate even further.

The Relative Strength Index (RSI) confirms this ongoing consolidation, as the oscillator stands at 47 but has failed to make a meaningful move either below 60 or above 40, which are typically considered strong buy and sell signals.

Bulls Recaptured the $68,000 Area and Need to Defend It to Push BTC Back to $71K

Moving down to the hourly chart, our signals system has identified a multitude of “high-conviction” sales right after BTC dropped below $71,500 this last time.

These are specific candle patterns that feature above-average trading volumes. Whenever these sell signals pile up and start showing up consecutively, we interpret it as a clear sign that the selling pressure remains strong.

Whale buying is the offset right now to this phenomenon. Buyers seem to be showing up at $68,000, making this the key level to watch for the rest of the week.

Right now, the price action is touching that mark once again. If it bounces off it or breaks below it, that could set in motion the next big move for the top crypto.