Bitcoin’s approach to the $60,000 support again dampened the risk appetite in altcoins. Cryptocurrency investors, who spent a day dominated by red in the market, are watching whether the $ 60,000 support can be broken.
When we look technically, we see a Bitcoin that closes 2 days below the 20-day average and has difficulty staying above it. This data is technically rising and shows that we have difficulty in finding new buyers at these levels.
As long as we don’t technically close above $61,800, we can test the 50-day average ($54,600) to find support and get buyers in.
During the 2020 and 2021 rally, we observed that the 50-day average is a good buying opportunity. Therefore, we consider it a good buying opportunity if the market maker pulls the price down to $54,000 for a final shake-up before the uptrend. These purchases with a 50-day average of six closing stops will also be reasonable in terms of risk-return ratio.
On a weekly basis, pullbacks to $51,800 should be considered reasonable.
Traders who are considering new entries can evaluate their positions according to these levels if $60,000 is broken. If a bullish wave comes before the 50-day average and this week’s movements remain fake-out, the train can be jumped again at the daily close above $61,800 (daily ma20).
As we maintain our bullish expectation in Bitcoin and altcoins, we think that these pullbacks can be considered as a good buying opportunity.
*Not Investment Advice.