Inflation continues to be a major preoccupation of investors on financial markets. Latest signals from FED are not pointing that peak is near, which puts investors in a position to hold while positioning waits for the right signal from FED. In this sense, Friday would be a day to watch as the US inflation rate will be posted.
Bitcoin started the previous week in a positive mood. Coin started the week with price push up to the level of $32.3K in a quest for short term resistance of $33K. However, as of the weekend, the market turned to the downside, where BTC finished the week at levels modestly below the $30K support line. On a positive side, this line is currently tested, but it still has not been clearly breached. RSI was pushed to the level of 50, but still, the market did not make a break, so the road to the overbought market continues to be on hold. Moving averages of 50 and 200 days continue to move with downtrend, with MA50 modest divergence from MA200.
Currently important indicators for markets will be posted on Friday, so this will be a day where major moves on the market are possible during the following week. In this sense, some level of precaution is advised. BTC is still holding at $30K support line, but negative fundamentals might impact its further push to the downside, first to the level of $28K which would then open a road for BTC toward $25K next support line. Still, there is an equal probability for the price to return to the level of short term resistance at $33K, in case of positive market sentiment, which would depend on Friday`s inflation results.
Disclaimer: This article provides exclusive views of the author. It does not in any sense represent a suggestion for trading.
Bitcoin started the previous week in a positive mood. Coin started the week with price push up to the level of $32.3K in a quest for short term resistance of $33K. However, as of the weekend, the market turned to the downside, where BTC finished the week at levels modestly below the $30K support line. On a positive side, this line is currently tested, but it still has not been clearly breached. RSI was pushed to the level of 50, but still, the market did not make a break, so the road to the overbought market continues to be on hold. Moving averages of 50 and 200 days continue to move with downtrend, with MA50 modest divergence from MA200.
Currently important indicators for markets will be posted on Friday, so this will be a day where major moves on the market are possible during the following week. In this sense, some level of precaution is advised. BTC is still holding at $30K support line, but negative fundamentals might impact its further push to the downside, first to the level of $28K which would then open a road for BTC toward $25K next support line. Still, there is an equal probability for the price to return to the level of short term resistance at $33K, in case of positive market sentiment, which would depend on Friday`s inflation results.
Disclaimer: This article provides exclusive views of the author. It does not in any sense represent a suggestion for trading.
