Bitcoin is still resisting to stay above the $55,000 level, as the bitcoin price rebounded to it after touching it and dropping to the $53,500 level.

The sudden and rapid drop from above $60,000 to current levels caused the liquidation of nearly $9.79 billion last Sunday, making it one of the largest liquidations in crypto history.

The reason for the heavy selling was attributed to a lot of news and the spread of doubt and feelings of uncertainty “FUD”, however, it appears that the market is recovering, as although bitcoin is far from its record levels by about $10,000, bitcoins continue to exit the trading platforms towards individual wallets. .

Read:Bitcoin hardware wallet information and tips for using them

Even during the market’s sharp decline, cryptocurrency exchange Binance recorded one of the largest outflows of bitcoin.

Analyst Dover One noted that the price of bitcoin has continued to trade in the range above $58,000 for nearly two months now despite bitcoin reserves dropping 12%.

Bitcoin reserve price against all exchanges Bitcoin reserve since we started in the 58k range for about 2 months now. The rate was pretty much flat but the reserve was down -12%

Yesterday there was a big influx of Binance again during the sale pic.twitter.com/J9hzbQoMP6

– Dovey “Rug The Fiat” Wan🪐🦖 (DoveyWan) April 19, 2021

The decline of Bitcoin from the trading platforms is a positive sign as it often represents a shift from speculative Bitcoin to storage.

Bitcoin’s rally is not over yet:

Bitcoin price throughout this uptrend has shown a similar pattern.

Where after a new high is recorded every month, there is a sharp correction and then a period of consolidation of 3-4 weeks.

Bitcoin reached a new record high of $64,683 last week, followed by a sell-off at the end of the week and liquidation of highly leveraged positions.

Read:For the first time… an Ethereum address holding 100,000 USDC coins has been blacklisted

The consolidation phase has become longer with each new record high, prompting many to announce the beginning of a bear market on countless occasions over the past couple of months, however, Bitcoin has bounced back to new highs each time, and speculation about it reaching even higher levels has emerged. .

The open interest rate on Bitcoin futures touched another high indicating strong demand for the cryptocurrency.

Read:Soon.. Binance platform will add the option to trade cryptocurrencies against local currencies

Bitcoin supporters and enthusiasts believe that the market liquidation event was nothing, because traders are greedy and selling is a bullish event because it ensures that the weak hands leave the market.

Currently the bitcoin price is trading at $55,183 down more than 3% in the last 24 hours.

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