Bitcoin (BTC) was sold off on June 27 on Wall Street as US stocks plunged.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
$25,000 like a line of bulls in the sand
Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD is following a decline in the stock markets as it started the last week of June.
At the time of writing, the pair is trading below $21,000, after hitting a three-day low after a broadly stable weekend.
Amid a general lack of bullish conviction among traders, expectations for a further decline remained in place, with Bitcoin staying below the 200-week moving average (WMA) at $22,430.
“Bitcoin says no for $21,000 support. It’s all good. We have regulated levels,” Cointelegraph contributor Michael van de Poppe wrote in a Twitter debate that day.
Another post argued that more declines will come to entice traders to open long positions. The support is at $20,325 and around $20,100, neither of which should continue, it could result in a pullback towards $19,000.
Meanwhile, Credible Crypto trader and analyst has set out requirements to make sure this month’s lows of $17,600 are not challenged. For him, that should be followed by a trip into the low $30,000 range.
“If we can get $25,000 back, pay up to $30,000 – $28, $29, $30,000 – at this point, I don’t think we’re going to see new lows,” he said in a video update.
“So if we’re going to see new lows, I expect that to happen before we get $25,000 back.”
Bitcoin remained on track to close its first-ever month below the 200WMA on the day, with the current bear market identified among the previous ones.
BTC/USD 1-week candle chart (Bitstamp) with 200WMA. Source: TradingView
BTC draining from exchange wallets
Meanwhile, signs of investor buying continued to decline.
Related: Google Users Think BTC Is Dead – 5 Things to Know in Bitcoin This Week
After whales made headlines to add coins around $20,000, exchanges on a larger scale have seen a significant drop in bitcoin supply in recent days.
According to data from on-chain analytics firm Glassnode, June 26 saw the largest cumulative change in BTC not held on exchanges.
The 30-day average change in supply on exchanges decreased by 153,849 BTC as funds moved elsewhere.
Bitcoin exchange position net change chart. Source: Glassnode
As Cointelegraph reported, metrics like Mayer Multiple continue to show the potential for significant gains by buying BTC at current levels.
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