Bitcoin BTCUSD - what levels I'm currently monitoring
Hi all,
I hope you are doing fine and had a blast of a weekend! Kidding, we are all stuck home, I know that very well since I´m dealing with the same...
Going back to the bitcoin - this little monster is wide awake even though not fully aware of what exactly to do in the mid-term.
The last trading day of the workweek was extremely volatile. Bulls were trying their best to continue the upward movement after rebounding from the low end of the mid-$5,000s while bears were struggling to reverse it. Bitcoin was trading in the wide range between $7,163 - $5,624, but only registered a small gain to $6,205.
Nothing changed on Saturday as the leading cryptocurrency remained stable near the trading levels from Friday.
On Sunday, March 22, however, we saw a drop to $5,812 and the coin was rejected at $6,400 for a second consecutive day. Still, it was 8.4 percent up on a weekly basis.
24h trading volumes went as high as $56 billion on March 20 then made a shallow slope back to $37 billion on Sunday evening.
What we are seeing on Monday morning is the BTCUSD pair trading at $5,841, basically no change since yesterday. We are looking at stabilization in the current area and another visit to the zone around $6,400. A proper consolidation after a close above this level will set the ground for an attack of $7,000.
On the other hand, I see $5,650 as a very unstable temporary S/R line. If we fall below this level, then we are going back to the sub-$5,000 area. The exact same setup is present on other timeframes, mainly 4h, but also the major levels are visible on weekly and monthly.
The RSI indicator also could not escape the downtrend and is not showing any visible signs of going back to the buy area.
My personal feeling is that we will see a new low this week before we go up. Fundamentals are not helping here and BTC will follow stocks again in the opening today.
I hope you are doing fine and had a blast of a weekend! Kidding, we are all stuck home, I know that very well since I´m dealing with the same...
Going back to the bitcoin - this little monster is wide awake even though not fully aware of what exactly to do in the mid-term.
The last trading day of the workweek was extremely volatile. Bulls were trying their best to continue the upward movement after rebounding from the low end of the mid-$5,000s while bears were struggling to reverse it. Bitcoin was trading in the wide range between $7,163 - $5,624, but only registered a small gain to $6,205.
Nothing changed on Saturday as the leading cryptocurrency remained stable near the trading levels from Friday.
On Sunday, March 22, however, we saw a drop to $5,812 and the coin was rejected at $6,400 for a second consecutive day. Still, it was 8.4 percent up on a weekly basis.
24h trading volumes went as high as $56 billion on March 20 then made a shallow slope back to $37 billion on Sunday evening.
What we are seeing on Monday morning is the BTCUSD pair trading at $5,841, basically no change since yesterday. We are looking at stabilization in the current area and another visit to the zone around $6,400. A proper consolidation after a close above this level will set the ground for an attack of $7,000.
On the other hand, I see $5,650 as a very unstable temporary S/R line. If we fall below this level, then we are going back to the sub-$5,000 area. The exact same setup is present on other timeframes, mainly 4h, but also the major levels are visible on weekly and monthly.
The RSI indicator also could not escape the downtrend and is not showing any visible signs of going back to the buy area.
My personal feeling is that we will see a new low this week before we go up. Fundamentals are not helping here and BTC will follow stocks again in the opening today.