As Bitcoin approached $79,000 towards the weekly close on Sunday, the impact of the ongoing developments between the USA and Iran was felt in the cryptocurrency market. Acting under the shadow of the geopolitical risks experienced in recent weeks, Bitcoin recovered the losses it suffered throughout the week near the closing and displayed a strong stance.
Last Three Month High at Weekly Closing
According to TradingView data, BTC/USD parity gained value again as it entered the week’s close, aiming for the highest weekly closing in the last three months. It was stated that if Bitcoin holds above $78,670 at the end of the week, it will achieve its strongest weekly close since the end of January. Analysts predict that if this level is exceeded permanently, $ 80,000 and above may come to the agenda again in the medium term.
Especially on Friday, there was strong buying in both Bitcoin and other risky assets as hopes for a new peace agreement between the United States and Iran emerged. However, on Sunday, US President Donald Trump appeared to take a skeptical stance on the latest Iranian proposals in his social media post.
Donald Trump said in his post: “I can’t even imagine this could be acceptable.”
What Do Market Commentators Say?
Michaël van de Poppe, one of the leading names in the market and prominent with his analyzes on social media, drew attention to the recent consolidation process in Bitcoin. Van de Poppe mentioned that there was a total inflow of 630 million dollars into spot Bitcoin ETFs in the USA on Friday,
We are watching a strong consolidation and Friday gave a hint for upcoming moves. I don’t think this trend will slow down in the near term, so we may see shallow consolidation.
he commented.
On the other hand, some analysts warned that despite new positions opened with high volume, upward price movements could be a short-term liquidity draw, followed by a sharp correction. An investor known as Crypto Tony shared his opinion: “I expect a downward movement to come with a liquidity withdrawal above.” JDK Analysis account also evaluated that the current liquidity structure in the market is typically reminiscent of a bear market.
The Importance of Liquidity Movements
Some traders pointed out that fresh longs were opened in the futures market and that the price’s failure to move significantly higher despite aggressive buying was one of the signs of absorption in the market. If this situation continues, it is emphasized that there may be a sales pressure after the upward wave in the short term.
In summary, while Bitcoin is pushing $ 79,000 again as risk appetite increases towards the close of the week, both geopolitical developments and liquidity movements in the futures market continue to determine the course of prices.
