In the latest update, leading crypto analyst Crypto Rover observes the ongoing rally phase of Bitcoin (BTC). He emphasized the potential for significant small-scale liquidity if the price of Bitcoin touches the $71,900 level. Rover emphasized that significant liquidity may occur at the top of the range.
Rover estimates that more than $3 billion in liquidity in Bitcoin may occur at the mentioned price point. Roger emphasizes that attention should be paid to funding rates, historical trends, and short-term price action.
Additionally, Rover indicated a large futures gap formed over the weekend, suggesting a surge to fill the gap. However, Rover expressed confidence in Bitcoin's potential upside, referring to the recovery of indicators such as the Relative Strength Index (RSI).
With the RSI touching lows not seen since January 2022, Rover sees this as a positive signal. In addition, the researcher hinted at upward momentum. Furthermore, he outlined a strategy to take advantage of the 20% correction, aiming to accumulate more Bitcoin units at lower levels.
Rover emphasized the importance of liquidity in driving Bitcoin's price movement, noting that most of the liquidity is now concentrated on the higher side of the price. Also emphasized is the correlation between USDT market cap growth and Bitcoin price action. The increased interest in crypto as evidenced by the printing of USDT could be a catalytic factor.
For him the best during the accumulation phase is to wait with patience and observe the price movement. Bitcoin recently dipped below $61,000. It was the second decline this month where BTC lost more than 10% in its value. However, Bitcoin price recaptured the price level above $66,000 today and maintained strong momentum.
Bitcoin price rose by 3.35% to $66,300.94 on Monday. On the other hand, crypto saw a 29.55% drop in 24-hour trading volume, reaching $43.23 billion.