Bitcoin Price Forecast: Can this $500M Signal Keep BTC above $60k?

Bitcoin (BTC) price wobbled as low as $62,400 on April 27, on course to close the week 7.3% in the red. The latest data from the aggregate order books of top crypto exchanges showed retail investors have reacted to the latest dip by mounting additional buy-orders.

Will the demand surge be enough to keep BTC price above $60,000 as April 2024 shutters.

BTC Sees Excess Demand of $500 million after 7% Price Dip

Bitcoin price underperformed this week, despite the media fanfare surrounding the Halving at the start the week. BTC declined 7.3% while the altcoin markets grew significantly, with Litecoin (LTC) and BONK leading the top gainers chart.

Bitcoin’s negative price performance could be put down to low demand from ETFs and skittish sentiment among investors wary of a potential post-halving crash that has perennially betided major Proof-of-Work (PoW) projects.

But after price dropped to a weekly time-frame low of $62,400 on Saturday, April 27, on-chain data shows that bull traders swooped in to buy the dip and potentially avert major liquidation losses.

The IntoTheBlock chart below shows the number of active buy/sell limit-orders placed across 20 prominent crypto exchanges including Binance, Kraken and Coinbase.

At the time of writing on April 27, Bitcoin bulls have mounted active orders to purchase 36,000 BTC at the average price of $62,800. Meanwhile, as depicted above, bearish traders currently have only 28,000 BTC listed for sale.

Effectively this implies that there’s an excess market demand for 8,000 BTC, worth approximately $500 million. Going by the cardinal law of demand, BTC buyers may have to compete for the scarce supply by raising their bid prices to get orders filled quicker.

Bitcoin Price Forecast: $60,000 Support Stands Firm

Bitcoin price looks set to experience mild-rebound, and avoid further downswing below $60,000 in the coming days, especially if savvy dip-hunting buyers add to the current $500 million excess BTC market demand.

IntoTheBlock’s global in/out of money data, which groups all existing Bitcoin holders by their entry prices also supports this bullish outlook.

It shows that, 1.16 million active addresses had acquired 339,330 BTC at the average price of $62,334. If these holders move to defend their positions to avoid slipping into losses, BTC will like advance towards $65,000 in the days ahead rather than breakdown below $60,000.