At the time of writing, bitcoin price is sitting pretty at $83,810 which is a 1.47% drop in the last seven days. Even with this modest decline, one of the most important indicators on Binance is pointing to a possible trend change in bearish market sentiment.
Even the Binance Taker Buy Sell Ratio has normalized back to neutral territory. It’s currently at 1.008, indicating equal buying and selling pressure. A ratio above 1 typically indicates that buyers dominate trading volumes, signaling a bullish sentiment, while a ratio below 1 suggests the opposite.
Specifically, on April 14, the Binance Taker Buy Sell Ratio more than 1.1. This return to neutral is a strong signal that Bitcoin’s demand is coming back. To its credit, it hasn’t yet attained a net positive.
It is possible that the recent tax deadline in the United States on April 15 played a role in market dynamics. On April 15, AnchorWatch CEO Rob Hamilton explained this phenomenon in a post on X (formerly Twitter). He bases that on which direction he thinks Bitcoin’s price is most likely to go.
"is flat for the day because we are in an epic tug of war between people who are selling Bitcoin to pay their taxes and people using their refunds to buy Bitcoin." - Rob Hamilton
According to new data from CoinGlass, it was a historic week. If Bitcoin manages to reclaim the $85,000 mark, it would lead to the liquidation of approximately $637 million in short positions.
Indicative of this overall cautious market sentiment, despite these potentially positive signals, further expected market growth has slowed considerably. Our Crypto Fear & Greed Index is in Fear mode at 29 out of 100. This score indicates that investors are in a state of “Fear.”
Furthermore, TradingView's Bitcoin Dominance Chart shows that the asset's market share is at 63.81%, reflecting a 9.82% increase since the beginning of the year. Bitcoin Dominance has increased 9.88% since the start of 2024.
As we move forward, Bitcoin market analysts are continuing to provide conflicting viewpoints on where the first digital asset is headed next.
"the market may be underestimating how quickly Bitcoin could surge — potentially hitting new all-time highs before Q2 is out." - Jamie Coutts
