On February 17, the volatility of cryptocurrency markets was at its worst. Continual tensions between Russia, Ukraine, and other countries wreaked havoc on financial markets and temporarily pushed Bitcoin prices below $41,000.
Cointelegraph Markets Pro and TradingView data show that there was a selling wave that began at midday on February 17th. This dropped BTC to $40,743 per day before bulls raised the price above $41,000
BTC/USDT 1-day chart. Source: TradingView
Let’s take a look at the opinions of traders on the Bitcoin market about the Bitcoin price drop and what that means for the larger scheme of things, as global tensions rise.
Bearish until $50,000
Independent market analyst Michael van de Poppe has lost the bullish perspective due to the sudden pullback in BTC. He posted the following chart, which highlights the areas BTC needs to move through to support his bullish view.
BTC/USD 1-week chart. Source: Twitter
According to van de Poppe’s red box, Bitcoin must break above $50,000 in order for the bias towards bulls to be reversed.
van de Poppe said,
“Nothing really changed. This is the one I still look at for Bitcoin. I would prefer to see a break in this weekly order block. If it doesn’t, I’m not bullish.
BTC price respects a key level
“Pentoshi,” an anonymous Twitter user, posted this chart. He noted that recent BTC purchases may have been premature.
BTC/USD 1-day chart. Source: Twitter
“Despite all the bullish propaganda price still respected the levels. Bullas are on life support. While I’m willing to trade the level with reclaim, I know that there is a high downside risk.
Related: Ukraine’s new crypto bill kicks out one ministry as regulator
Sell the news and buy the rumor.
John Wick, an options trader and pseudonymous Twitter User, offered some final perspective on what traders should remember during times like this. He posted the following tweet about concerns regarding rising U.S. rates and the situation between Russia-Ukraine.
It’s not all about the news, but how markets react to and absorb it. Russia and rate increases are two variables. It will be interesting to see how the information is absorbed. The majority of news is hyped up and can fade eventually.
— John Wick (@ZeroHedge_ February 17, 2022
The total cryptocurrency market is now worth $1.867 trillion. Bitcoin’s dominance rate at 41.8%.
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