BTC price drops to 1-week low as traders focus on Bitcoin whales, Nvidia

Bitcoin (BTC) threatened a breakdown from its trading range at the Feb. 21 Wall Street open as resistance stayed firmly in place.

At the Feb. 21 Wall Street open, Bitcoin (BTC) was on the verge of breaking out of its trading range, with strong resistance still hindering its progress.

Despite its potential, Bitcoin (BTC) was struggling to break through the resistance at the Feb. 21 Wall Street open, threatening a breakdown from its trading range.

The Feb. 21 Wall Street open saw Bitcoin (BTC) facing strong resistance, which kept it from breaking out of its trading range and potentially causing a breakdown.

The Limitations of ETFs in the Bitcoin Bull Market

According to data from Cointelegraph Markets Pro and TradingView, Bitcoin is currently experiencing retests of its lowest price levels in a week.

Despite reaching a new 26-month high of $53,000, the market is facing selling pressure and even the potential of ETFs is not enough to boost the mood.

In response, Crypto Chase, a popular trader, pointed out that Bitcoin is currently struggling with its fair value gap (FVG) on daily timeframes, as seen through Fibonacci retracement levels.

“Although it may not look great, Bitcoin has recovered from worse situations before,” Crypto Chase commented on X (formerly known as Twitter).

In his latest video update, Keith Alan, co-founder of trading resource Material Indicators, emphasized that even the potential of ETF inflows cannot guarantee a positive market response.

“As we approach the middle of the week, we can see that the BTC W candle is turning red,” Alan wrote.

However, popular trader Daan Crypto Trades urged for calm in the current market situation.

“Usually, sentiment follows price. When sentiment precedes price without any actual follow-through, it’s important to pay attention,” Daan Crypto Trades wrote in a recent X update.

Fellow trader Jelle, known for his optimistic outlook on the market, shared a similar perspective.

Nvidia’s earnings report could trigger a “frothy week” in the market

In its latest market update, trading firm QCP Capital pointed to high funding rates as a contributing factor to the recent weakness in BTC price.

The firm also noted that sustaining funding at these levels is typically challenging, which could lead to a pullback in price after the significant upward movement.

QCP highlighted the upcoming earnings report from tech giant Nvidia as a potential source of volatility for risk assets.

According to the firm, Nvidia currently has a P/E ratio of 90x, and expectations for Q4 earnings have recently been adjusted upwards.

Daan Crypto Trades also emphasized the significance of Nvidia’s earnings report.

In his X forecast, he stated that if Nvidia beats expectations and the price rises significantly, we can expect a volatile and “frothy” market in the next week or two.

Categorized in:

Tagged in: