Cryptocurrency

Bitcoin price recovers above $67K amid $60M BTC liquidations

Nancy Lubale

The Bitcoin price is trading at $67,349 as of 2:00 am EST, up 5% over the last 24 hours.

On Sunday, March 24, BTC rose from a low of $63,853 to a high of $67,667, a 5.8% rally that saw the big crypto reclaim the $67,000 and flip the 20-day exponential moving average (EMA) back to support.

The rise in Bitcoin has been accompanied by a spike in Bitcoin liquidations. According to derivatives data from Coinglass, more than $165 million leveraged crypto positions have been liquidated over the last 14 hours – $110 of these are short position liquidations. BTC's climb above $67,000 has led to the liquidation of more than $46.15 in short Bitcoin positions.

Crypto liquidation heatmap. Source: Coinglass

The largest single liquidation order occurred on the OKX crypto exchange, involving an ETF/USD swap valued at $6.62 million.

The 20-day EMA provides strong support for Bitcoin price

BTC's Sunday rally saw its price edge above the 20-day EMA, providing a strong support area on the downside. This is the area at $65,773, as shown on the daily chart below.

This is corroborated by data from on-chain metrics data provider IntoTheBlock. Its In/Out of the Money Around Price (IOMAP) model shows that this level sits above the $63,365 to $65,395 price range, where roughly 713,580 BTC were previously bought by approximately 1.07 million addresses.

Bitcoin IOMAP chart. Source: IntoTheBlock

This means that the price of the pioneer cryptocurrency sits on strong support downward, relatively robust enough to absorb any selling pressure threatening to pull the BTC below this level.

The Relative Strength Index (RSI) was back above the midline, and the price strength at 55 suggested that the market conditions still supported the upside.

In addition, the 20-day, 50-day and 100-day EMAs were facing upward, a suggestion that the buyers were still in control of the price.

As such, BTC could resume its uptrend by producing a daily candlestick close to $68,000. Above that, the next logical move would be the $70,000 psychological level and, later the all-time high above $73,800.

TradingView  Chart: BTC/USD daily chart

On the downside, a daily candlestick close below the 20-day EMA would suggest the inability of the buyers to sustain higher levels. The psychological level at $65,000 would provide the line of defense. Additional lines of support would emerge from the 50-day EMA at $60,200 and the $60,000 demand zone.

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