Bitcoin (BTC) hit a new two-week low at the open on Wall Street on Wednesday, as traders forecast a rally to a “mediocre” low.
Key points:
- Bitcoin price action is nearing the range lows, which traders see still holding.
- A relief bounce should come soon, they say, with targets closer to $70,000.
- Progress in peace between the United States and Iran has little bullish impact on risk assets, with US stocks flat at the open.
BTC price nears low: $70,000 next?
TradingView data showed BTC prices falling below $60,000 for the first time since June 10.
BTC/USD four-hour chart. Source: Cointelegraph/Trading View
Traders had warned of an increase in short-term interest as funding rates rise, increasing the chances of a capitulation.
“It’s time to start bouncing back on the LTF soon,” trader Killa wrote in ongoing comments on X, referring to short deadlines.
“Limited range until proven otherwise.”
BTC/USD chart segment. Source: Killa/X
Killa uploaded a another painting showing a relief bounce towards $70,000, expected after the bounce.
BTC/USD chart segment. Source: Killa/X
Fellow trader RektProof had a broadly similar forecastsseeing BTC/USD trading in a range with $60,000 as the floor “for the remainder of the month.”
“Overall, this is a supply-side trend and a return to the EQ lows before returning to bad highs +70,000,” he added.
BTC/USDT one-hour chart. Source: RektProof/X
Stocks tread water as Hormuz oil transit advances
At the macro level, US actions appear to have already priced in relief from the US-Iran peace deal.
Related: Four-year BTC price trend rises to $76,000 as analysis says Bitcoin ‘isn’t broken’
The upside prospects were limited despite US President Donald Trump providing further details on mutual cooperation between the two sides.
Trump specifically referenced the Strait of Hormuz oil transit route, writing in an article about Social truth that there would be “no tolls, no insurance charges and no other charges of any kind demanded or collected by Iran on vessels traveling” via this route.
Source: Social Truth
The S&P 500 was trading up 0.4% at the time of writing, while the Nasdaq Composite Index even turned slightly negative on the day.
Earlier, Cointelegraph reported on several factors keeping enthusiasm for risk assets in check, including tech giant Micron Technologies’ earnings forecast and the May release of the Personal Consumer Expenditure (PCE) index, due Wednesday and Thursday, respectively.
