Another volatile week for BTC and the crypto market ended. However, the question whether the move to the downside is finished stays open. Namely, two weeks ago, it was evident on the charts that the market exhausted the latest move to the upside, and it is struggling to sustain the achieved levels. It is also evident that demand for BTC holds on the market, but the question of buying moment remains open. So, what is the market waiting for? It should be understood that aside from crypto enthusiasts and retail investors, the majority of other participants represent companies from financial sectors, like hedge and investment funds. These companies will position their portfolios based on macro expectations, where macroeconomic variables will impact their investment decisions. This is one of the main reasons why there had been a modest sell off of Bitcoin during the previous week. The sentiment changed after the release of US jobs data, which heated market expectations that Fed might cut interest rates later in the year from previously expected. Investors adjusted their portfolios accordingly. The market will always price all known information, in which sense BTC`s volatility might continue for some time in the future. The coin managed to become a significant part of the mainstream markets, through establishment of the first ETF.
BTC started the week by testing the $70K resistance line. Soon, it reverted to the down side, reaching its weekly lowest level at $64.735 shortly. The majority of trades in this move were around the $ 65K support line. It was also the moment when dip buyers entered the market stage and moved BTC back to the levels of $68K, where the coin is finishing the week. The RSI is still not on a clear road toward the oversold market side, as the indicator is holding above the level of 50. Moving average of 50 days continues to diverge from MA200, without any indication that it will change the movement in the coming period.
Current charts show one tricky part for the price of BTC. Looking at a longer time frame, there is indication of a potential for a move toward lower grounds, but only if BTC manages to break the $ 65K support line. Such a move will open a path toward the $60K support line. Still, for the week ahead, it could be expected another move toward the $ 65K which will be tested. If this level holds, then the price of BTC will be moved to the higher grounds, probably up to $68K, while $70K should not be excluded.
BTC started the week by testing the $70K resistance line. Soon, it reverted to the down side, reaching its weekly lowest level at $64.735 shortly. The majority of trades in this move were around the $ 65K support line. It was also the moment when dip buyers entered the market stage and moved BTC back to the levels of $68K, where the coin is finishing the week. The RSI is still not on a clear road toward the oversold market side, as the indicator is holding above the level of 50. Moving average of 50 days continues to diverge from MA200, without any indication that it will change the movement in the coming period.
Current charts show one tricky part for the price of BTC. Looking at a longer time frame, there is indication of a potential for a move toward lower grounds, but only if BTC manages to break the $ 65K support line. Such a move will open a path toward the $60K support line. Still, for the week ahead, it could be expected another move toward the $ 65K which will be tested. If this level holds, then the price of BTC will be moved to the higher grounds, probably up to $68K, while $70K should not be excluded.
