As the week progresses, Bitcoin (BTC) "looks pretty good," with bulls set to challenge several notable resistance levels.
In an update to Telegram users on March 2, Filbfilb, an analyst at trading firm Decentrader, said that the outlook for BTC/USD is increasingly positive.
Traders focus on levels above $40,000
Bitcoin prices have risen to February highs after a surprise breakout on Monday. While not outpacing them so far, investors and traders have reacted extremely positively to the news, and sentiment indicators point to a swift shift in the market.
For Filbfilb, the forecast is equally bullish after BTC/USD broke above the 50-day moving average (MA) and weekly levels, both of which can now act as support levels.
In a more bleak scenario, bulls hold interest at $40,770, the weekend's lowest close on the ideal 3-day time frame. .
"Given the conflict, the somewhat crazy environment, anything can happen," Filbfilb added of the current macro situation.
However, even given the current turmoil in global markets, there are signs that the worst is over for cryptocurrencies as an asset class that is pouring in.
As Jurrien Timmer, global head of macro at U.S. asset management giant Fidelity Investments, pointed out, both Bitcoin and related stocks appear to have formed a "double bottom" pattern.
Therefore, for BTC/USD to continue, February's highs of just under $46,000 should be turned into support.
The daily chart supports higher
Order book data from major exchange Binance likewise shows that traders have become increasingly bullish in recent days.
Bids have risen slightly as the price of Bitcoin has risen, with current new demand around $43,200. Meanwhile, $45,000 remains a major area of seller pressure.
BTC/USD Order Data Chart (Binance) Source: Material Indicators
However, as on-chain analytics firm Glassnode reported this week, zoomed out data shows that almost all buyers at November's all-time high of $69,000 have capitulated, reducing the chances of exits between that price and current levels. general will.
“During the 2.5-month long consolidation period, a significant amount of supply was diverted by top buyers to exchanges for sale. This supply was then gradually absorbed by more confident buyers, and the cost basis of these tokens ranged from $29,000 to $40,000 scope,” it explained in its latest weekly newsletter, “The Week Onchain.”
"This behavior describes a widespread weak-hand to strong-hand reassignment event."
Bitcoin tests resistance at $49,000, but a downturn breaches key supports at $45,000, signaling a short-term bearish trend. Critical resistance lies at $43,250, while downside risks persist below $41,500. Traders closely monitor these levels for market direction.
EdmundAt 8 o'clock last night, BTC, which had been breaking away from the 45k sideways position since 6 o'clock in the evening, reached the fastest acceleration of its downward decline. In just 2 hours, it went from 45k pins to nearly 40k.
JinseFinanceBitcoin is surging towards $40,000, unseen since the May 2022 TerraUSD incident. Factors include potential SEC approval of a Bitcoin ETF and anticipated Federal Reserve rate cuts starting in March.
YouQuanA sharp fall in the cryptocurrency's price in May and June appears to have coincided with the increase in wallet addresses holding more than one Bitcoin.
CointelegraphSmall wallet addresses–those containing 0.1 Bitcoin or more–continue to accumulate Bitcoin at a rapidly increasing rate.
CointelegraphSupport and resistance aside, it's all about the yearly pivot for Bitcoin price action, says Decentrader's Filbfilb.
Cointelegraph$40,000 remains a hurdle for BTC price, but traders still agree that the current range is a zone for accumulation.
CointelegraphWith little comfort on the daily chart, analysts once more zoom out to explain the lack of momentum on the market.
CointelegraphMounting concerns about the state of the global economy and traders' risk-off sentiment continue to weigh on Bitcoin price.
CointelegraphMarkets took a turn for the better after BTC reclaimed $40,000, and the excitement over Elon Musk buying Twitter translated to a 20% pump for DOGE price.
Cointelegraph
