Bitcoin (BTC) Holding Steady as Asian Markets Crash

Bitcoin (BTC) is holding steady and trading in the green this morning despite traditional global markets suffering one of their most violent sell-offs in years.

A massive spike in energy prices has triggered a “limit down” opening for major Asian indices. South Korea’s KOSPI, for instance, was down by more than 9%, triggering a circuit breaker. 

Yet, amid the chaos, the leading cryptocurrency is currently holding steady.

Bitcoin started near the $67,100 to $67,200 range and pushed upwards, peaking at roughly $67,600 around 04:25 UTC. Following this peak, sellers stepped in, initiating a steady downtrend. 

The selling pressure accelerated leading up to 05:00. It is currently trading at 67,816. The bulls are attempting to establish a higher support level.

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That said, the “limit down” scenarios in the East are already acting as a contagion. U.S. stock market futures are now pointing to significant declines at the open. It remains to be seen whether BTC will be able to weather this test.

A relief rally in the offing?

As reported by U.Today, Bitcoin analyst Willy Woo recently noted that a potential Bitcoin rally to the mid-$80,000 range should be viewed as a deceptive “bull trap.”

Woo pointed out that investor flows have been recovering since mid-February. 

Woo argued that Bitcoin’s rapid sell-off in the early stages of this bear market has led to temporary exhaustion. 

He expects the asset to consolidate and mount a rally testing resistance in the mid-$80,000s, which represents the cost basis for short-term investors.

The analyst has stressed that Bitcoin is still “solidly in the middle of its bear market” based on long-range liquidity.

This potential relief rally could stretch out to the end of April. Woo bases his thesis on tracking capital flows and liquidity changes.