For weeks, the price of Bitcoin has only known one direction. There have been no longer breathers for the bulls. And where have the bears gone? Is it still possible to invest in Bitcoin now or will the price soon slide further down again? This will be shown from a technical perspective using a weekly, daily, and 4-hour view.
If you want to find more details about the price of Bitcoin and to read the latest business headlines, download for free the Born2Invest mobile app.
Opportunity to invest now?
For long-term investors, the focus is certainly on the larger time units. Higher level time units always have relevance in the lower time levels. Therefore, let’s now take a look at the weekly chart of the Bitcoin price.
The bears have done it! The current weekly candle is closed bearish. This means that the closing price is lower than the opening price. No bearish candle has been marked since the old all time high of 2017 was crossed. The bulls marched completely up and brutally trampled every bear. But will this continue?
The Relative Strength Index, an indicator that shows buying power (pictured below), has been in extremely expensive territory for weeks. Looking at the past in the Bitcoin price, this is currently the longest range in this expensive area. For the bulls, it is now extremely important to take a rest and recharge their batteries. This will happen either through a longer sideways phase or a downward price correction.
These support levels must hold for the price of Bitcoin!
What strikes right away are the four bearish candles right after the all-time high at around $42,000. Only the small support zone of $32,275 to $34,000 was able to provide support for the Bitcoin price. This week, the price failed to surpass the previous high. However, no further lows were set currently either.
A break of the support zone just mentioned should only find further buying power in the area of the lower two daily key levels. This zone extends from about $22,800 to about $23,850 on Coinbase. The superimposed Moving Average 200 (black ascending line), an indicator that reflects the long-term trend, would also have arrived at this support zone in the event of a renewed sell-off of the Bitcoin price. This indicator is seen as a strong support by many traders.
In order to continue to rise, the current high must be overcome sustainably. However, as it appears, the bulls are currently taking a break. Whether this is used and the Bitcoin price continues to rise or whether the bears take the helm remains to be seen.
Bitcoin price in no man’s land of decisions!
Looking at the 4-hour chart, one thing stands out: Something is happening, but nothing is really happening. Bulls and bears are joining hands, but neither faction really feels like starting anything. The current sideways movement must probably be sat out. It is still too early for good entries.
As soon as a stable trend develops again, one can look for entries. Here, it does not matter to traders whether the Bitcoin price rises or falls. With patience and the right setup, good short- and long-term profits can be achieved.
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in CRYPTO MONDAY, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
How Much Do We Know About Sustainability: The ESG Culture LAB Report
From the results that emerge from the Eikon Italia survey, although citizens have only a partial vision of sustainability, more...
How a Newly Launched Bitcoin ETF Is Seen by Investors
The Bitcoin ETF Token (BTCETF) is a project issued on the Ethereum blockchain. Its native token is BTCETF and is...
Walliance Buys Lymo, the First French Real Estate Crowdfunding Platform
Walliance, with the inclusion of Lymo Finance, has solidified its position with over €160 million transacted, boasting around 98,000 registered...
Mediquo Is Committed to the International Market and Aims to Double Sales in 2024
Mediquo makes it possible for any healthcare professional to care for their patients via chat. Last April, the Catalan company...
Why the Agrifood Industry in Morocco is a Strategic Challenge
The organization of an international agrifood trade show in Morocco would be a key lever for stimulating local exports and...
Crypto1 week ago
Cryptocurrencies Kick Off the Milei Era with 30% Increase
Business3 days ago
Vivid Seats Acquires Vegas.com in $240M Transaction — Is Restaurant.com [RDE, Inc. | OTCQB: RSTN] Next in Line?
Business1 week ago
CardCash.com [RDE, Inc. | OTCQB: RSTN] Is Turning Unwanted Gift Cards Into Investor Profits — Here’s How
Fintech2 days ago
How the Fintech Sector in Mexico Developed