The number one coin failed to maintain its momentum after hitting the 42000 mark and it dropped down to the 40K level. Could this be a false breakout for top crypto brokers and other participants or it’s a sign that the bullish trend is about to resume.
The market cap is below $800 billion and it reacted well when the Federal Reserve made it known that they will increase the interest rates by 25 basic points.
BTCUSD Technical Analysis
Monthly Chart Bullish
Monthly Resistance Levels: 69000, 55000, 45600.
Monthly Support Levels: 32000, 30000.
The BTCUSD pair did about 53.15% bearish run from the 69000 level and the correction has not had a strong momentum as the price could not close above the 45600 resistance zones. The resistance level of 45600 may continue to push the price down towards the 30000 and 32000 support levels until the price can close above the resistance zones.
The price of bitcoin may fall lower if the support zone of 30000 is taken out by online brokers on short positions. The zone is key for long position traders because a close below the zones will expose the BTCUSD to lower support of the 20000 mark.
Weekly Resistance Levels: 60000, 45580, 46000.
Weekly Support Levels: 34500, 32950
The BTCUSD has had rejection of the price from resistance zones of 45580 on the weekly chart in the last 3 weeks. However, the BTC/USD closed the last weekly candle in a bullish state and also engulfed the previous candles. AS the new trading week unfolds, if the pair can close above the weekly resistance zones, the bulls will take the price higher.
According to some market analysis, the selling trading volume of bitcoin is low and it could be a possible suggestion that the price of bitcoin may rise further if the buying momentum can increase.
Daily Resistance 42500, 46000
Daily Support 31650, 30000.
The BTCUSD pair started the trading week with a pullback after testing the resistance zone of 42500, a breakout above will continue the Bullish rally of the previous week. The recent news of Goldman Sachs’s over-the-counter crypto transaction is another boost for the cryptocurrency market and this will attract more investors into the market and it is a good step for the customers to be exposed to the crypto market.
4 Hour Resistance 43000, 50000.
4Hour Support 31240, 40068.
The bullish run had been in trend for some days before the price pulled back. If the BTCUSD should close below the support level of the $40,068 mark, the bearish trend will continue. The recent news about Goldman Sachs will favor the online brokers and, we expect more investors into the market.
If the Bulls can close above the 43000 mark with enough upside momentum, the online brokers going long will control the market to take the price towards the 50000 levels.
The previous week closed with a bullish momentum and we expect the bulls to continue the scenario as the price breaks out above the resistance zones on the daily chart.
The bearish structure on the weekly chart is not broken yet, and the market has a breakout below the support zone of 32950 for the bearish trend to continue.
Bitcoin BTC News Events
UKRAINE CBDC SENTIMENT.
As the armed conflict between Russia and Ukraine intensifies, Stellar CEO Denelle Dixon states that the company is still working with the Ukraine central bank digital currency (CBDC) and the work is progressing. However, due to the ongoing war, the work rate has reduced and some people are unable to access their offices. The Ukraine authorities signed into law a framework for digital assets which will also help businesses manage crypto donations effectively.
Before the crisis, the government of Volodymyr Zelensky wanted a move to a cashless society. The government wants a stronger hryvnia and it should not be undermined by other currencies while they accept other cryptos and escalates their usage.
Her project was to develop the XLM token and strengthen the hryvnia. She introduced on and off-ramps in conjunction with MoneyGram in October 2021 among her technology. Presently, the government has started to accept crypto donations for humanitarian aid.
Conclusion and Projection
The BTCUSD has shown some positive signs for a bullish run on the weekly chart, online brokers and other investors are paying closer attention to the decision of Goldman Sachs on the OTC (over the counter) approach for their customers on crypto assets.
If the BTC/USD pair should break out above some key zones, the bullish trend will run for the week. However, the weekly trend is still bearish, we are yet to see the continuation of the bearish trend, but a breakout below will promote the trend.
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