Bitcoin (BTC) Finds Support though Indicators Suggest It May be Temporary
This is the tech analysis for Bitcoin (BTC). We will be looking at movements from the day prior and today’s support, resistance, pivot levels, and Fibonacci’s. Additionally, we will look at the broader market moves on the day prior and any key market drivers. Please see the end of the article for a full video tech analysis including a look at the EMAs.
Bitcoin’s Day Prior Moves
Bitcoin, BTC to USD, rose by 1.54% on Saturday. Partially reversing a 3.10% slide from Friday, Bitcoin ended the day at $46,873.
A bearish start to the day saw Bitcoin fall to an early morning intraday low $45,523. Steering clear of the first major support level at $45,134 Bitcoin rallied to a late morning intraday high $47,483. Falling short of the first major resistance level at $46,633, however, Bitcoin fell back to sub-$46,500 levels before finding support.
The near-term bullish trend remained intact, in spite of the most recent pullback to $41,000 levels. For the bears, Bitcoin would need a sustained fall through the 62% FIB of $28,814 to form a near-term bearish trend.
The Rest of the Pack
Across the rest of the majors, it was a bullish session.
In the current week, the crypto total market fell to a Monday low $2,054bn before rising to a Thursday high $2,303bn. At the time of writing, the total market cap stood at $2,194bn.
Bitcoin’s dominance rose to a Tuesday high 42.25% before falling to a Saturday low 40.22%. At the time of writing, Bitcoin’s dominance stood at 40.33%.
At the time of writing, Bitcoin was down by 0.05% to $46,848. A mixed start to the day saw Bitcoin rise to an early morning high $46,920 before falling to a low $46,783.
Bitcoin left the major support and resistance levels untested early on.
Elsewhere, it was a mixed start to the day.
Cardano’s ADA (+0.08%) and Litecoin (+0.05%) avoided the red early on.
It was a bearish start for the rest of the majors, however.
At the time of writing, Crypto.com Coin was down by 1.34% to lead the way down.
For the Bitcoin Day Ahead
Bitcoin would need to avoid the $46,626 pivot to bring the first major resistance level at $47,730 into play. Support from the broader market would be needed, however, for Bitcoin to break out from $47,500 levels.
Barring an extended crypto rally, the first major resistance level and resistance at $48,000 would likely cap the upside. In the event of an extended rally, Bitcoin could test resistance at $50,000 levels before any pullback. The second major resistance level sits at $48,586.
A fall through the $46,626 pivot would bring the first major support level at $45,770 into play. Barring an extended sell-off on the day, however, Bitcoin should steer clear of sub-$44,000 levels. The second major support level at $44,666 and the 38.2% FIB of $44,144 and should limit the downside.