Bitcoin Market Price Week 27 Analysis
Bitcoin Market Price Week 27
The bitcoin market price week 27 did a continued dance with the ZAR 10,125 / BTC level throughout the week. It was mostly fluctuating between ZAR 9,900 and 10,125 level.
That was until the last 24hrs of trading, when the price pulled back substantially and fell 5%, pulling back to ZAR 9,465 on current trading. The price did fall as low as ZAR 9,245 / BTC.
The price is more or less trading sideways at the moment, since that large pullback.
The current range would have support at ZAR 9,245 (downside), representing the lowest point of the last 24hr action. Overhead resistance would be at ZAR 9,645.
In general terms, a trading strategy would be to go long on any bounce from support. Any correction from the resistance point would be an indication to go short. Set to target the opposing level, with a stop on the other side of entry.
Bitcoin Market Price – Market Events.
The prevailing market event that provides a backdrop to all this activity is the coming halving. We have written about this event extensively. It is a major supply side event in the Bitcoin market that occurs only once every four years. It is only a matter of days away.
As we have said previously, expect volatility and extreme, quick, price actions, like the last 24hrs. Overall the chart patterns, long-term, are still bullish.
Otherwise, there is general economic uncertainty, especially around inflation and China. This would suggest increased demand for alternative assets and stores of value like Bitcoin.
Given this move to the downside, beware of further losses on the downside, and especially a move to the ZAR 9,100 region. While the long-term is still bullish, there is a short-term consolidation pattern that is looking bearish.