Bitcoin traders ignore Silk Road sale as BTC price bounces to $66.5K

    2024.04.03 | exchangesranking | 49onlookers

    Bitcoin (BTC) returned above $66,000 on April 3 as market observers brushed off Silk Road BTC sales.

    BTC/USD 1-hour chart. Source: TradingView

    BTC price claws back April lost ground

    Data from Cointelegraph Markets Pro and TradingView tracked a modest BTC price recovery after lows of near $64,500 after the daily close.

    These came amid news that the United States government had moved more than 30,000 BTC ($2.1 billion), which it confiscated from the defunct marketplace Silk Road on-chain, subsequently selling 2,000 BTC ($133 million).

    While this appeared to agitate an already nervous market, traders were quick to call for calm.

    “In every market, we've got bullish and bearish narratives,” Michaël van de Poppe, founder and CEO of trading firm MNTrading, wrote in part of a response on X (formerly Twitter).

    “At peak bullish momentum, you'll see a huge impact of every bearish narrative. This time, it's the Silk Road Bitcoin being transferred.”

    Van de Poppe added that he was “happy” that more of the BTC supply was now available.

    Others stressed the insignificance of the amount sold.

    Source: Thomas Fahrer

    On the buy-side, the latest data from sources including United Kingdom-based investment firm Farside puts the total inflows to the U.S. spot Bitcoin exchange-traded funds (ETFs) at just over $40 million for April 2.

    Combined with the $183 million seen on March 28, the previous Wall Street trading day with a positive net flow, the total easily eclipses the government sell-off.

    Bitcoin ETF flows (screenshot). Source: Farside

    Bitcoin "needs follow through from buyers"

    In his latest market update, meanwhile, popular trader Skew hoped to see spot buyer maintain momentum.

    Related: Bitcoin resets bull market BTC price metrics as April dip passes 7%

    “Nice sweep of the lows & good buyback reaction. Need follow through from buyers now,” he told X followers about BTC/USD on 4-hour timeframes.

    Even more optimistic was fellow trader Jelle, who stressed that Bitcoin bulls had already cleared the most significant long-term resistance hurdles.

    Source: Jelle

    “Corrections are normal; they do happen. You'll see them happening in every market circumstance, independent of whatever narrative,” Van de Poppe continued the day prior.

    “In this case, I fancy a correction on Bitcoin as it would imply a healthier and organic market cycle. Dips are for buying in these markets.”

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