Bitcoin Surges Above $69K, Erasing April Dip

Bitcoin (BTC) experienced a significant increase in daily gains on April 4, surpassing the $4,000 mark. Traders were closely watching the impending short liquidations. The price of BTC reached $69,328 on Bitstamp, impressing market observers who saw this as a correction to a previous inefficiency in the chart. Traders such as Daan Crypto Trades and Skew noted that the rally was driven by spot market buying rather than derivatives. Skew also mentioned that this momentum would need to be sustained for more than just a few hours in order to have a lasting impact.

There was a $32.7 million wall of liquidity taken out as BTC/USD surpassed $68,620, indicating potential problems for those who were shorting BTC. The price of $69,000, which was the old all-time high from late 2021, remained a key focus for market observers. The reset in on-chain metrics had previously prevented Bitcoin’s return to form, but it was still facing resistance at this price level. Traders, such as Josh Rager, emphasized the importance of closing above $71,000 to continue the upward momentum.

Skew described the $69,000 mark as significant, noting that any dips from this level would determine the level of limit buying and the actual demand for higher prices. The support provided by the 200-period exponential moving average on 4-hour timeframes was also seen as impressive by market participants. The increase in Bitcoin’s price was driven by spot market buying, and it would be important to monitor the level of demand and buying activity at the $69,000 level to determine the future direction of BTC’s price.