On March 10, Bitcoin rose above $8,000 as the global markets started a seemingly major recovery from the March 9 crash. Data obtained from Coin360 revealed that BTC/USD reclaimed the $8,000 mark after sinking to a two-month low of $7,625.
Currently, the pair traded at around $8,100, which is about 2% up for the day but still 8% down compared to the same time last week. This boost for Bitcoin came several hours after traditional markets seemed to recover from the panic that had dominated the first trading day of the week.
The US stocks, for instance, cancelled out Monday’s slump entirely. Mati Greenspan summarized:
“The US Stock market has already recouped almost all of yesterday’s historic losses… Capitulation??”
CME gap: Is $11.8K the next target?
Bitcoin’s trip towards $7,600 range has become significant for another reason. Several traders noted on March 9 that $7,685 represented the final “gap” in CME Group’s Bitcoin futures markets.
The vacuum that exists between the end of one futures trading session and the beginning of another, these gaps left behind tend to get filled by Bitcoin at a later date. BTC/USD hence accurately filled the last gap remaining that was lower compared to the last spot price. The only other gap that exists is much bigger, located at $11,790.
A popular Twitter account The Moon commented on these occurrences:
“There are now NO MORE GAPS below $BTC. So, we can finally get this bull run started as a safe haven asset!”
Others were more careful. One analyst said that while he had already added to his position, he plans to exit once more at around $8,200. He told subscribers of his Telegram trading channel on March 10:
“Position is cautious until otherwise, but I have repurchased in this morning with around 30% of capital allocated. I’ll add into strength as and when it comes as the overall picture and total environment is still not clear.”
