Bitcoin – Holds onto $4,000 Levels, but only Just…Bitcoin holds onto minor gains in the early hours, but Bitcoin has required support to avoid a slide to sub-$4,000 levels.
Bitcoin fell by 0.53% on Sunday. Reversing a 0.45% gain from Saturday with interest, Bitcoin ended the day at $4,041.4.
The reversal left Bitcoin down 0.68% for the week, marking a first weekly loss since the week of 11th February.
A bearish start to the day saw Bitcoin fall from an intraday high $4,063.1 to a morning low $4035.1 before finding support.
Support through the late morning led Bitcoin back to $4,050 levels before a late slide to an intraday low $4,011.0
The reversal saw Bitcoin slide through the first major support level at $4,033.07 to come within range of the second major support level at $4,002.93.
For the Bitcoin bulls, a crisis was averted by avoiding a slide to sub-$4,000 levels on the day.
Across the top 10 cryptos, it was red across the board, with the exception of Binance and Bitcoin Cash ABC that managed to buck the trend.
Binance rallied by 12.9% on Sunday to end the week with an 8.78% gain. In contrast, Bitcoin Cash ABC gained 7.2% for the week, in spite of a 0.78% decline on Sunday.
Stellar’s Lumen recorded the heaviest loss of the week. A 2.06% fall on Sunday left Stellar’s Lumen down by 4.6%.
Ending the week flat having been looking in with a chance of an upward move through the week was Tron’s TRX. Tron slumped by 4.25% on Sunday to end the week with just a 0.17% gain.
As the month comes to a rapid end, Binance continues to be the clear leader, up by 65.2%. Other notable rallies were Litecoin, which is up by 30.9% for the current month and Bitcoin Cash ABC, up by 26.6%.
Trailing the pack is Tron’s TRX, which is down by 2.44%.
While the intraday moves show little platform differentiation, the monthly moves have provided some variability across the crypto market.
Binance continues to find support following the rollout of Launchpad, with the gains coming at the expense of Ethereum. Ethereum is up by just 0.66% for the current month. A lack of ICO market activity continues to pin back any major rebound. The environment is expected to change this summer, though much will depend on the G20’s rules and regulations.
At the time of writing, Bitcoin was up by 0.15% to $4,047.6. A bearish start to the day saw Bitcoin fall to an early morning low $4,033.9. Steering well clear of the first major support level at $4,013.9, Bitcoin recovered to a morning high $4,049.9 before easing back. The day’s major resistance levels were also left untested early on.
For the day ahead
A move through to $4,050 levels would support a run at the first major resistance level at $4,066. For Bitcoin to break through to $4,100 levels, support would be needed from the broader market.
Barring a broad-based crypto rally, we would expect Bitcoin to come up short of the second major resistance level at $4,090.6.
Failure to move through to $4,050 levels could see Bitcoin hit reverse later in the day. A pullback through the morning low $4,033.9 would bring $4,020 levels into play before any recovery. The first major support level at $4,013.9 would likely limit any downside on the day.