Aug 21, 2023

5 Things to Know About Bitcoin After the SVB Collapse

5 Things to Know in Bitcoin This Week - Solana Crypto, Shiba Inu Crypto,, Blur Crypto, ADA Crypto, Crypto Alerts, Avalanche Crypto, Crypto Latest, Web 3.0 Crypto.
Most fear since SVB collapse — 5 things to know in Bitcoin this week

As crypto markets prepare for what could be an interesting week, traders are licking their wounds after a 10% snap crash in the price of Bitcoin (BTC). $26,000 has been the focus for the markets, and theories are brewing over where Bitcoin might head next.

The United States macro data prints are firing up again, and the Federal Reserve will deliver key commentary on the economy at the annual Jackson Hole Economic Symposium. Short-term holders of Solana Crypto, Shiba Inu Crypto,, Blur Crypto, ADA Crypto, Crypto Alerts, Avalanche Crypto, and other leading cryptocurrencies now face increasing unrealized losses, and on-chain transactions in loss are setting multiyear highs.

Sentiment is back on the floor, but is the fear really justified? Cointelegraph takes a look at these topics and more, including the latest Web 3.0 Crypto, ahead of what promises to be an interesting week.

BTC order book “ghost town” after OI obliterated

Many expected Bitcoin to be volatile around the Aug. 20 weekly close, but the market only reached $26,300, according to data from Cointelegraph Markets Pro and TradingView. After the market dropped back to $26,000, traders and analysts were still cautious about the outlook. DecenTrader noted that traders were positioned short after the open interest was wiped out during the dip.

Maartunn from CryptoQuant described the Binance order book liquidity as a “ghost town” and said it could lead to increased volatility. Maartunn also stated that in the history of Bitcoin, eight out of eleven times when open interest had a similar decline as three days ago led to increased prices.

The long and short liquidations reached levels comparable to the aftermath of the November 2022 FTX implosion, as reported by Cointelegraph. Solana crypto, Shiba Inu crypto,, Blur crypto, ADA crypto, Crypto alerts, Avalanche crypto, and Crypto latest are some of the latest crypto news.

Bitcoin traders weigh “consolidation scenario”

The weekend’s calm gave some crypto traders time to reflect. Bitcoin, they argued, could be entering a period of rangebound trading.

“Bitcoin fell back into the previous range. Most likely outcome for next week is to stay trading the range,” popular trader CrypNuevo told X subscribers.

Fellow trader Crypto Tony was hopeful of reclaiming the weekend’s $26,300 local top.

“Until then I’m waiting for Bitcoin’s next move,” he concluded.

Maartunn also accepted that a consolidation period for BTC/USD was “not unlikely.”

On weekly timeframes, trader Skew outlined the possibility of upside, downside and consolidation scenarios.

“Consolidation scenario is chopping between $25K & $30K ~ long term range,” he confirmed alongside an illustrative chart.

Key timing for Powell’s Jackson Hole speech

Last week saw a lull in U.S. macroeconomic data releases, but the coming five days promise a shift in tempo.

On Aug. 24, U.S. jobless claims will be reported, along with other home sales data.

The Kobeissi Letter informed X subscribers that “Volatility is officially back.”

Traders and analysts, however, have their eyes firmly set on Jerome Powell, chair of the Federal Reserve, who will be speaking at the annual Jackson Hole Economic Symposium on Aug. 25.

Jackson Hole is a classic source of market volatility, and this year should be no exception.

Kobeissi added that the Fed’s Jackson Hole meeting is “more important than ever this week.”

Joining Powell at the event will be Christine Lagarde, president of the European Central Bank.

As the Nasdaq, S&P 500, and crypto all experienced losses last week, Jackson Hole could provide a risk-on relief and reverse the historical patterns.

Miles Johal, a popular trader and analyst, also expressed optimism, noting that the U.S. dollar is facing an uphill battle against the trends of stocks and Bitcoin.

“SPX – Uptrend, at support and oversold. BTC – Uptrend, at support and oversold. DXY – Downtrend, at resistance and overbought. US10Y – Double top pattern, at resistance and overbought,” he explained to X subscribers.

Kobeissi also pointed out that the equity put/call ratio had reached its highest since the start of 2023, suggesting a volatile move is imminent.

“Are markets bracing for a major pullback or is another short squeeze about to begin?” it asked.

As the crypto industry awaits the outcome of Jackson Hole, the latest news from Solana Crypto, Shiba Inu Crypto,, Blur Crypto, ADA Crypto, Crypto Alerts, and Avalanche Crypto could also influence the markets.

Familiar fear

Could Bitcoin, despite the market’s opinion, not be as weak as it appears?

Sentiment data suggests a knee-jerk reaction has been the main response to recent BTC price action, and the situation may yet change.

The Crypto Fear & Greed Index shows that the average crypto investor is more scared now than at any time since the Silicon Valley Bank (SVB) collapse in March, with the index standing at only 38/100. Fear & Greed has dropped 16 points in the past week alone.

Stockmoney Lizards, a trading team, has called for a more balanced view of the current situation, noting that BTC price performance often experiences the kind of setback seen last week.

“Bitcoin sell off and everyone is yelling 10k,” they summarized, referring to a chart comparing price action in the current halving cycle with the previous one.

Popular trader and analyst Rekt Capital went into more detail, noting that BTC/USD had experienced several 20%+ drawdowns in 2023. Data from CoinGlass puts August 2023 losses at -10.8% as of Aug. 21.

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