The price of Bitcoin has reached important support areas, including the lower boundary of the upward channel and the static support area of $25000, which is consistent with its previous major fluctuations formed on February 19. Due to the seemingly high purchasing pressure, it is expected that prices in the region will receive excellent support
The price of Bitcoin has reached important support areas, including the lower boundary of the upward channel and the static support area of $25000, which is consistent with its previous major fluctuations formed on February 19. Due to the seemingly high purchasing pressure, it is expected that prices in the region will receive excellent support.
Analysis of Bitcoin Price Technology
Daily chart
After an extended consolidation correction phase, the price of Bitcoin began to decline slightly and experienced a 20% decline (from an annual high of $31000 to a recent fluctuating low of $24800).
However, after the correction stage, the price has reached the important psychological support level of $25000 and the lower trend line of the channel.
However, if the price falls below the region, there may be an impulsive bearish rebound, as selling pressure may increase significantly. However, it should be pointed out that the 200 day moving average is a strong support for prices, currently located below the channel floor, at approximately $23900, which may prevent Bitcoin from further falling.
4-hour chart
The price of Bitcoin was rejected in the $31000 range and began to plummet, forming a downward channel. Recently, in the downward trend, it reached the lower trend line of the channel, which is $24.7K, and found support.
On the other hand, the Fibonacci range of 61.8% -50% also coincides with the lower trend line, providing strong support. As a result, Bitcoin experienced a reversal and triggered an impulsive bullish rebound.
At present, the price is attempting to break through the channel limit of $27000. If the breakthrough is successful, a bullish rebound will be imminent. Therefore, in this case, the next stop for Bitcoin may be an important resistance area of $30000.
On chain analysis
The realized price chart of short-term holders is a valuable and useful on chain indicator of Bitcoin. From a historical perspective, it has been both a support and a resistance.
Recently, there has been an interesting development when Bitcoin fell below the average purchase price of short-term holders. This situation may prompt these holders to sell their BTCs after breaking even.
However, contrary to expectations, short-term holders see this as an opportunity to increase their holdings of BTC at a relatively cheap price, leading to price increases. As a result, Cryptocurrency has now broken through the real price of short-term holders.
As long as this level continues to act as a support, Cryptocurrency may explore
Seek higher levels. The market attributed this positive result to the behavior of short-term holders who took advantage of the opportunity to purchase Bitcoin at a discounted price.
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