- The 21-Week SMA held Bitcoin’s rally upwards in the previous bull market.
- The market is hopeful for an upward correction to the next key resistance of $52,040.
- The U.S Treasury Yield of 10 years could bring Bitcoin’s price rally to a pause.
Bitcoin Price Movement Bets on 21-Week SMA
Presently, Bitcoin‘s most important technical indicator is the SMA (or Simple Moving Average). The bulls want to flip the top coin’s price back to the $50,000. And defending the 21-Week SMA is a good way to prevent unnecessary selling pressure.
The bulls know they will fail to attract more buyers if they fail to sustain Bitcoin’s price above the $41,959.63 crucial support. While this is a win for the bears; the market hopes for an upward correction above the next key resistance of $52,040, a price point that will kick off Bitcoin’s rally to a new all-time high.
It turns out, bears’ emphasis on maintaining Bitcoin’s price below the 20-day EMA (Exponential Moving Average) of $48,087, while the bulls believe their only hope for long-term gains is the 21-week SMA.
The coin is already $10,000 below last month’s shelf of $58,000. On the 24-hour chart, the coin posted a daily high of $49,454. Afterward, it faced a downward trend to its current price of $48,606.
Also, the chart indicates a strong rebound from a crucial support level. Yesterday, the coin dropped by 3.4% and hit $46,336. The good news is the recovery. The patterns are bullish and persistent to consolidate a full market recovery.
But the bulls are still afraid of an imminent drop towards $37,000 and $28,050. This is in case the bears manage to pull and sustain Bitcoin’s price below the crucial support of $41,959.
Bitcoin Price Movement in the Past 24-Hours
We are only six days into March and Bitcoin’s monthly high stands at $52,484. The monthly high rally kicked off on 2nd March from $47,000. Until yesterday, the digital asset has been on a gradual downswing that saw its bottom at $46,336 on the 24-hour chart.
Unfortunately, this chart doesn’t look good and spreads fear of imminent drops towards low support levels. This is because: The coin bottomed at $46,336 and faced a gradual rebound to $49,454. For some reason, the coin is now heading downwards towards $48,000. However, my take is the prevailing bitcoin dips are a result of traditional market instability. The long-term forecast is bullish and Bitcoin’s technicals are quite promising.
Bitcoin Price 4-Hour Chart
BTC began the 4-hour chart with a sharp upward correction to $49,454. Another sharp decline to $48,800 and a slight recovery above the $49,000 price channel.
The stay around here was however short-lived and the coin dropped to $48,200. After which it’s been correcting upwards gradually.
Bulls are attempting to pull the leading asset above an overhead resistance of $52,040. The 4-hour chart is however bearish and signifies a coin attempting to consolidate recovery. The current price is $48,684
Bitcoin Price Prediction
The past week has witnessed an extremely volatile bitcoin market. Gains and drops have happened all over. Above all, market analysts anticipate Bitcoin’s price rally to take a hiatus for some time. The situation is a result of increasing the U.S treasury’s 10-year yield to 1.626%. Most people are therefore profit-booking assets that had initially been considered a risk.
The historical chart is however in favor of a long-term bullish Bitcoin. The 21-week Simple Moving Average was a major price floor in the previous bull market. Therefore, as long as the bulls defend the SMA, all odds remain in favor of the Bitcoin price movement.
What do you think about Bitcoin? Do you think the bears have an upper hand in pulling the price downwards?