Bitcoin: Price Rises, But Trading Volume Disappears...Could it Fall to $74,000?

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The total cryptocurrency market capitalization failed to break through the $2.6 trillion resistance level, and trading volume has sharply decreased, raising the possibility of a large-scale correction over the weekend.

According to crypto media outlet BeInCrypto on April 24 (local time), the total cryptocurrency market capitalization formed an uncertain Doji candle near $2.6 trillion last Wednesday before turning downwards. Editor Harsh Notariya analyzed that the cryptocurrency market capitalization fell by 1.35% from its peak, indicating an expanding decline.

This decline aligns with the widespread risk-averse sentiment in the global asset markets. The US stock market's S&P 500 index closed down 0.41% amidst weakness in software stocks. In particular, renewed geopolitical tensions surrounding Iran pushed Brent crude prices above $104, ending the previous rally driven by ceasefire expectations. Fund rotation into the stock market has halted, and capital outflows are intensifying ahead of the weekend.

TradingView analysis indicates that if the $2.6 trillion upper resistance level holds, increased volatility due to a lack of liquidity is a concern over the weekend. The primary support level is $2.49 trillion, and holding this zone is crucial for a rebound. If it falls below $2.49 trillion, the downside opens up to the $2.41 trillion and $2.34 trillion areas. For the market to regain strength, it must definitively surpass $2.63 trillion.

Bitcoin (BTC) is currently trading around $77,751, similar to 24 hours ago, and has recorded approximately a 10% increase over the past month. Santiment data shows that major stakeholder wallets have accumulated 40,967 BTC over the past two weeks, still sending bullish signals on-chain. However, in terms of trading volume, signs of weakening buying pressure have been detected, requiring caution. From early March to April 22, Bitcoin's price set higher highs, but trading volume peaks were lower, showing a bearish divergence.

The decisive price level that will determine Bitcoin's direction is the high of $79,501 formed on April 22 with light trading volume. To override the warning signals from low trading volume and aim for further gains, Bitcoin must settle above $79,501 on a daily closing basis. If this resistance level is not breached and weekend liquidity issues combine, the $74,887 support level will be tested first. If $74,887 breaks, $72,033 and $69,726 are expected to be the next support zones.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*