On March 31, Bitcoin began to exhibit new signals of an approaching decline as BTC price action began to cut into last weekend’s CME futures gap.
The pair had fluctuated after failing to establish $48,000 as support earlier in the week, prompting calls for a retest of lower levels as a necessary step following significant advances.
Bitcoin was trading around $46,700 at the time of writing, having fallen to its lowest level since the night of March 27.
A check at the CME futures chart revealed that short-term price performance may have a negative objective in the shape of the gap left over from the previous weekend.
CME futures closed at roughly $44,650 on March 25, only to start at $46,725 on March 28.
Based on past history, the resultant gap might very well be filled, implying that Bitcoin could face another $2,000 drop.
Nonetheless, popular Twitter account @CivEkonom observed that a previously unseen gap from last year between $52,000 and $54,000 remained open.
Meanwhile, the retest fell into the short-term gameplan of certain popular traders. In a day-to-day report, Anbessa stated that he, too, preferred a return to the mid-$44,000 region, with only a deeper move challenging his so far positive outlook.
Cheaper coins would also benefit the largest bidder from late March, Blockchain protocol Terra, whose buy-ins hit 30,000 BTC on March 31.
Meanwhile, cross-crypto sentiment has continued to deteriorate, with the Crypto Fear & Greed Index reaching “greed” territory for the first time in 2022.