Bitcoin Drops to $68K: $66K Next Target Looms

• Bitcoin struggles to hold the $68,000 price level as analysts anticipate a drop near $66,000.
• Investor behavior and liquidity dynamics suggest potential for a short squeeze, but technical resistance remains a challenge.

On June 11, 2024, Cointelegraph reported that Bitcoin is under pressure as it fights to stay above the $68,000 level. Analysts predict the cryptocurrency could drop to approximately $66,000 in the short term, citing current market patterns and bearish sentiment.

Despite these challenges, some traders have noted the possibility of a "short squeeze." Significant liquidation orders above the current price may prompt rapid upward movement if short-sellers are forced to close positions. However, Bitcoin bulls face multiple technical resistance levels that are hindering upward momentum.

Glassnode observed consistent investor interest within the $66,000 to $69,000 price range, where increased buying activity has occurred during dips. Limited selling pressure from holders at higher levels, specifically between $70,000 and $72,000, suggests many investors are holding firm despite recent market fluctuations.

Material Indicators highlighted a lack of substantial buy orders above $67,000 on Binance. This indicates a higher likelihood of downward pressure before a recovery. The trading resource pointed to limited upside liquidity in the current market environment, suggesting Bitcoin may go "lower before it goes higher."

Traders are advising caution as they anticipate significant price movement. Daan Crypto Trades identified the 200-period simple and exponential moving averages on the 4-hour chart as key resistance levels for Bitcoin bulls. Meanwhile, analyst Michaël van de Poppe emphasized the market’s signs of increased volatility, suggesting a "big move" could be approaching.

As of June 11, 2024, 13:42 UTC, Bitcoin (BTC) is trading at $68,261.77, with a 1.48% decrease in price over the past 24 hours, according to CoinMarketCap. The cryptocurrency recorded a 13.56% increase in trading volume during the same period.