Bitcoin ($BTC) Revisited $80,000 on Friday after war nerves between the US and Iran caused a daily loss of 3%.
Important points:
- Bitcoin’s bullish momentum is slowly returning after a shakeout amid familiar geopolitical tensions.
- Traders caution that the mid-to-high $70,000 support level is important for bulls to protect.
- Unprecedented Bollinger Band data calls for more volatility ahead.
Bitcoin retests $80,000 after plunge
Data from TradingView displayed $BTC Downward pressure on prices eases as Wall Street opens.
$BTC/USD 1 hour chart. Source: Cointelegraph/TradingView
Thursday saw losses in risk assets amid rumors that the United States would restart its “Project Freedom” campaign against Iran, while military attacks on both sides put a fragile ceasefire at risk. The S&P500 hit a new all-time high.
This is an hourly chart of the S&P500. Source: Cointelegraph/TradingView
Cryptocurrency trader Michael van de Poppe commented that the retracement is not a “surprise” given the recent rally.
“Asset trends come in waves. Bitcoin has been on the upswing for several days, so it’s not surprising to expect a consolidation right now,” he said in the paper. ×post at that time.
“As long as the trend holds, I think we will see further upside in the coming weeks.”
$BTC/$USDT One day’s chart. Source: Michael van de Poppe/X
Van de Poppe after that explained He said Bitcoin is “doing well,” but said it needs to hold $76,000 as support.
“The initial rally out of the bear market will hit that resistance and give further momentum to altcoins,” he added.
Trader Jere also remained optimistic about the outlook, although he insisted that the day’s low should remain near $79,000.
“Even in a bearish case, we believe the turquoise zone will sustain prices and trigger a reversal to the upside,” he said. said X followers are following a chart showing $74,500 as a potential downside target.
$BTC/$USDT chart. Source: Jelle/X
Bitcoin volatility indicators need bigger moves
In the daily time frame, $BTCTherefore, /USD was unable to sustain a break above the upper bound of the Bollinger Bands volatility indicator.
Related: Bitcoin could plummet to $50,000 if ‘most important’ bear market test fails: analysis
$BTC/USD 1-day chart with Bollinger Bands data. Source: Cointelegraph/TradingView
as Cointelegraph reportedpositive signals from the band even prompted their founder John Bollinger to take a position through his own investment fund.
in X responsetrader SuperBro observed that the band conditions are the narrowest ever on the monthly time frame. This is an important prerequisite for the next increase in volatility.
$BTC/USD 1 month chart with Bollinger Bands data. Source: Cointelegraph/TradingView
This article was created in accordance with Cointelegraph’s editorial policies and is for informational purposes only. It does not constitute investment advice or recommendations. All investments and trading involve risk. Readers are encouraged to do their own research.
