Bitcoin relief bounce to $70,000 may come soon. On Wednesday, BTC hit new two−week lows, dropping below $60,000 for the first time since June 10.
According to TradingView data, traders had warned of increasing short interest with rising funding rates. Consequently, this boosted the odds of a capitulatory move lower.
Why a Bitcoin relief bounce could happen now
“It’s time to start bouncing soon on the LTF,” trader Killa wrote in ongoing commentary on X. He uploaded a further chart showing a relief bounce toward $70,000. This would be due following the bounce.
Fellow trader RektProof had a broadly similar forecast. He sees BTC/USD trading in a range with $60,000 as its floor “for the rest of the month.”
“Overall, a move to supply and back down to the EQ lows before forming back to poor highs + 70k,” he added.
Stocks tread water as Hormuz oil transit progresses
On a macro level, US stocks appeared to have already priced in relief from the US-Iran peace deal. Nevertheless, upside was limited at the open despite US President Donald Trump offering further details of mutual cooperation between the two sides.
Specifically, Trump made reference to the Strait of Hormuz oil transit route. He wrote in a Truth Social post that there would be “no tolls, no insurance costs, & no other charges of any kind being sought or received by Iran on ships traveling” via the route.
At the time of writing, the S&P 500 traded up 0.4%. However, the Nasdaq Composite Index even turned slightly negative on the day.
Several factors are keeping risk-asset enthusiasm in check. For example, forward earnings guidance by tech giant Micron Technologies and the May print of the Personal Consumption Expenditures (PCE) index are due out on Wednesday and Thursday, respectively. Therefore, traders remain cautious.
