Bitcoin price sees ‘hell of a reversal candle’ as 168,000 BTC leaves exchanges

Bitcoin (BTC) got here again with a vengeance on Could 13 as bulls stepped in to take the market to close $31,000.

BTC/USD 1-hour candle chart (Bitstamp). Supply: TradingView

Bitcoin RSI stays firmly oversold

Information from Cointelegraph Markets Pro and TradingView confirmed 24-hour features of 30% for BTC/USD within the aftermath of the Terra debacle.

Related articles

After “kissing” its realized value at $24,000, Bitcoin showed no taste for fresh bearishness as document on-chain quantity mixed with cash leaving exchanges en masse.

On Could 11 and Could 12 alone, trade balances declined by over 24,335 BTC, according to information from on-chain analytics platform CryptoQuant, masking 21 main platforms.

Outflows had been a lot larger at almost 168,000 BTC over the identical interval, however inflows from these in search of to promote had been equally intense as panic set in over Terra (LUNA) and TerraUSD (UST) tokens, in addition to the biggest stablecoin Tether (USDT).

Bitcoin trade netflows chart. Supply: CryptoQuant

As LUNA went to nearly zero and its blockchain was halted, Bitcoin, nonetheless, strengthened because the instant impression of the instability waned.

“It is a hell of a reversal candle,” fashionable dealer and TradingView author CryptoBullet reacted as a part of Twitter feedback.

Bitcoin’s relative energy index (RSI), referred to by CryptoBullet, measured 31 on the time of writing, nonetheless in oversold territory and its lowest since January.

BTC/USD 1-day candle chart (Bitstamp) with RSI. Supply: TradingView

$14,000 nonetheless on the desk?

Because the mud settled on Terra, LUNA and UST, nonetheless, not everybody was satisfied that the worst was over.

Associated: 3 reasons why bears aim to pin Bitcoin below $30K for this week’s BTC options expiry

Amongst them was the official @Bitcoin Twitter account, which like a number of others, famous that even the week’s lows didn’t symbolize a “traditional” most drawdown versus all-time highs.

“The $BTC all-time excessive is $68,990. An 80% draw-down is $13,798. $27k is about midway there,” it posted on the day:

“That is Bitcoin. Be ready.”

Information from on-chain analytics agency Glassnode, in the meantime. put the newest BTC value dip in historic context.

Bitcoin drawdown from all-time highs chart. Supply: Glassnode

As Cointelegraph not too long ago reported, MicroStrategy, the corporate with the biggest Bitcoin treasury, hinted that it could buy into any significant weakness toward $20,000 in an try and assist the market.