Bitcoin traders watch below $19,000 BTC price and warn of ‘hot’ CPI in February. According to analysts, there could be a few weeks of testing for Bitcoin and risk assets with Fed Chairman Jerome Powell as the triggers kick off on March 8.
The ‘breakdown target’ for Bitcoin is $19,000
cryptocoin.comAs you follow, Bitcoin failed to react as consensus formed around a potential breach of $20,000 at the March 6 Wall Street opening. Data from TradingView shows BTC holding above $22,400 at press time. BTC, which was dormant over the weekend, offered few trading opportunities as concerns arose over the impact of macroeconomic data from the US.
In particular, Analyst Venturefounder says the Consumer Price Index (CPI) February data, which will be released on March 14, is expected to be ‘hot’ or above expectations. In a Twitter post, the analyst records:
New Bitcoin higher bottom and bearish RSI divergence continues. March could be a bad month for risky assets, including BTC, with a hot CPI figure coming in and the FOMC meeting later this month. A breakout from this level would target $19k BTC.
An accompanying chart reveals the potential path below $20,000. It also highlights the bearish trend in Bitcoin’s relative strength index (RSI), which occurs when the metric’s trajectory goes in the opposite direction (up and down, respectively) in price.
CPI data tend to trigger short-term volatility among risky assets. However, this is still usually short-lived and the Bitcoin spot price then returns to previous levels. In the sequel, popular trader Crypto Ed similarly expresses his belief in $19,000 marking the next local BTC price floor. In part of his Twitter comment, the analyst wrote, “Biggest trap ever, but the bottom is inside. Enjoy the coming months and don’t be fooled by the lower TFs!” is warning. US dollar ranks important test
Turning to macro markets, analyst Game of Trades draws attention to what he calls ‘heavy resistance’ against the strength of the US dollar. The US Dollar Index (DXY), which has traditionally been inversely related to Bitcoin, is now facing a major trendline retest. Game of Trades said, “DXY is approaching a heavy resistance zone after reclaiming the macro uptrend line. The reaction here will be very important for all markets,” he said.
Meanwhile, popular trader Crypto Chase says he sees a narrow trading range in the S&P 500 that mimics the lack of momentum in Bitcoin.
Focus will be on Federal Reserve chairman Jerome Powell’s speech before the US Congress on March 7 for clues to future monetary conditions.
According to the logarithmic chart, $70,000 is possible for BTC!
Bitcoin has been sideways for the past few weeks and some investors are getting increasingly impatient to wait for a new bullish cycle. However, according to some analysts, Bitcoin’s current price action may be forming a fractal that could trigger a move similar to what we saw in 2015, when BTC was trading below $500.
The long-term consolidation we are seeing now could be the basis for a massive price increase in the future. Even after Bitcoin’s rally in 2017, the coin entered a consolidation channel for about a year. This consolidation was eventually followed by a massive rally that took Bitcoin to an all-time high of nearly $20,000.
The fractal that analysts observed on the chart shows Bitcoin’s price action following a pattern similar to what we saw in 2015. If this fractal continues, it is possible to see Bitcoin price heading towards the $70,000 threshold. It is important to note that technical analysis is not an exact science and fractals are not a foolproof way to predict price movements. That said, it’s always interesting to see patterns emerge on the chart that could indicate a potential trend.
When analyzing the Bitcoin chart, there are two types of charts that traders usually use: normal and logarithmic charts. Normal or linear charts are the most common chart type, and they show an asset’s price movement over time on a linear scale. Logarithmic charts, on the other hand, use a logarithmic scale to show price movements. This means that each dot on the chart represents a percentage change in price, not an equal change in price.
Contact us to be instantly informed about the last minute developments. twitter‘in, Facebookin and InstagramFollow and Telegram And YouTube join our channel!
Risk Disclosure: The articles and articles on Kriptokoin.com do not constitute investment advice. Bitcoin and cryptocurrencies are high-risk assets, and you should do your due diligence and do your own research before investing in these currencies. You can lose some or all of your money by investing in Bitcoin and cryptocurrencies. Remember that your transfers and transactions are at your own risk and any losses that may occur are your responsibility. Cryptokoin.com does not recommend buying or selling any cryptocurrencies or digital assets, nor is Kriptokoin.com an investment advisor. For this reason, Kriptokoin.com and the authors of the articles on the site cannot be held responsible for your investment decisions. Readers should do their own research before taking any action regarding the company, assets or services in this article.
Disclaimer: Advertisements on Kriptokoin.com are carried out through third-party advertising channels. In addition, Kriptokoin.com also includes sponsored articles and press releases on its site. For this reason, advertising links directed from Kriptokoin.com are on the site completely independent of Kriptokoin.com’s approval, and visits and pop-ups directed by advertising links are the responsibility of the user. The advertisements on Kriptokoin.com and the pages directed by the links in the sponsored articles do not bind Kriptokoin.com in any way.
Warning: Citing the news content of Kriptokoin.com and quoting by giving a link is subject to the permission of Kriptokoin.com. No content on the site can be copied, reproduced or published on any platform without permission. Legal action will be taken against those who use the code, design, text, graphics and all other content of Kriptokoin.com in violation of intellectual property law and relevant legislation.