Bitcoin (BTC) is approaching a key weekly close on March 19 with traders concerned about a retest of lower levels.
Bitcoin bulls need to “step” to protect $26,000
Data from Cointelegraph Markets Pro and TradingView shows BTC/USD hovering around $27,000 on Bitstamp.
After quickly touching $28,000 over the weekend, a slow decline through out-of-hours trading denied the bulls a further squeeze. This has caused market participants to consider the possibility of Bitcoin returning to the support test.
“Hold a long position when we break above $25,500, but finally we lose support at $27,000 so we will go down and try around $26,100,” popular trader Crypto Tony toward Twitter followers.
“The key is to get the cows in at that time.”
Cointelegraph contributor Michaël van de Poppe, founder and CEO of trading company Eight, is optimistic about the short-term outlook, despite BTC/USD falling over the weekend.
“Do we stay above $26,800? The answer is clear; yes. This means, the trend will continue until $26,800 disappears. stated.
A post later in the day however emphasized the importance of the store’s support just $300 below the current spot price.
“$26,800 is crucial for Bitcoin,” Van de Poppe summarized.
“We’ve had two tests now. If we get another test, it’s likely to break and lead to a deeper, harsher correction. Top -> $28,500 next.”
Divorcing is a downward trend
On the weekly timeframe, BTC/USD is still in line for a stunning candle close, following the last action around $27,000 in June 2022.
Related: Bitcoin price hits $27K at new 9-month high as Fed injects $300B
For traders and analyst Rekt Capital, there is an additional cause for optimism thanks to Bitcoin potentially now leaving the intervening downtrend behind for good.
A few months later and #BTC has finally broken out of its Accumulation Range
This Accumulation Range is calculated based on the historical post-Death Cross retreat theory mentioned in the thread$BTC #Crypto #Bitcoin https://t.co/85DjLHoZnD pic.twitter.com/MRYUSGObdm
— Rekt Capital (@rektcapital) March 18, 2023
“As the old multi-month BTC downtrend breaks … A new $BTC multi-month uptrend emerges,” one Twitter post over the weekend said. read.
Rekt Capital highlights the importance of the 200-period moving average (MA) in weekly timeframes, which is currently at $25,350 and is primed for resistance/support flip.
The views, thoughts and opinions expressed here are solely those of the author and do not necessarily reflect or represent the views and opinions of Cointelegraph.