Bitcoin Sheds 5 Percent Following Coinbase IPO
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Crypto investors got a shocker from Wednesday’s market price action, following the listing of Coinbase (NASDAQ: COIN) on the Nasdaq. Bitcoin (BTC) suffered a 5% intraday decline, likely because capital moved out of Bitcoin and into COIN or the classic sell the news event played out.
BTC bulls, who expected to have a field day, found themselves struggling to keep the benchmark cryptocurrency from falling below the $61k line. Nonetheless, some reports assert that the selloff yesterday helped reposition Bitcoin for a price surge soon.
Coinbase’s IPO is the first cryptocurrency-related listing on Wall Street and marks the cryptocurrency industry’s debut into the stock market.
The IPO anticipation triggered a FOMO (fear of missing out) reaction in the market, which pushed many large-cap cryptocurrencies, including Bitcoin, Ethereum, Binance Coin, Cardano, Dogecoin, to new all-time highs.
COIN—with a starting price of $250—spiked to $428 at the of the market, before falling by about 27% to a low of $310 on the day.
Despite yesterday’s disappointing start in the crypto market, Coinbase’s IPO marks a new milestone for Bitcoin and the crypto industry and will open doors for more crypto adoption and use.
Key BTC Levels to Watch — April 15
Following two failed attempts to cross the $65k resistance level, Bitcoin got slammed with a heavy rejection sending it to the $61k area. That said, massive dip-buying took place following the dip at the $61,300 level (as seen on our hourly volume indicator), which sent the price to the $63k area. Not surprisingly, the dip-buy area coincides with our ascending trendline, thereby confirming a retrace.
We expect BTC to resume a bullish momentum over the coming hours as the Coinbase effect wears off.
Meanwhile, our resistance levels are at $63,500, $64,000, and $65,000, and our key support levels are at $62,550, $61,785, and $61,200.
Total Market Capitalization: $2.22 trillion
Bitcoin Market Capitalization: $1.17 trillion
Bitcoin Dominance: 52.9%
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