BTC price bets pile in as Bitcoin approaches one of its most important monthly closes since the November 2021 all-time high.
200-week trend line among popular BTC price targets
A modest bounce means that the pair is trading at around $27,800 at the time of writing as traders flag the most important support and resistance levels going forward.
For Crypto Tony, the current part of Bitcoin’s trading range is key, as $27,700 forms the equilibrium (EQ) level and key support that bulls should preserve.
“$27,700 is the level (EQ) you need to watch this weekend if you are currently in a fresh long position. Those who are in with me from awhile back, we are not worried unless we lose that range low,” he wrote in part of his latest Twitter analysis on the day.
An accompanying chart showed the top, bottom and EQ for BTC/USDT on Binance.
Continuing a popular narrative, Filbfilb, co-founder of trading suite DecenTrader, said that Bitcoin’s 200-week moving average (WMA) near $25,500 would be “front run” next.
This would translate to two-week lows, with bulls wanting to avoid a support or resistance flip of the 200WMA — something which occurred in mid-2022 and preceded months of downside.
Considering high-timeframe (HTF) resistance now directly above the spot price, meanwhile, fellow trader Credible Crypto cautioned followers on staying bullish at nine-month highs.
“You’re not allowed to get bullish at the highs into major HTF resistance. Now that we are testing our first actual level of support to the downside you ARE allowed to get a LITTLE bullish. If we are going to go for the highs again, we should hold here,” he said in a Twitter analysis.
Downside targets come in the form of $22,000–$23,000, with $25,000–$26,000 as a less drastic target should market strength hold.
“The RED region above us is HTF resistance and weekly supply which, thus far, remains untested. It would be logical to test this region before a larger correction to 22-23k BTC occurs,” Credible Crypto continued on an accompanying chart.
“This doesn’t mean it HAS to happen, but if we do rally from here back to the highs don’t flip mega bullish into resistance again.”
Bitcoin market structure has “shifted”
Concentrating on the monthly close, analytics account Tedtalksmacro offered a more optimistic angle.
On longer timeframes, he argued, Bitcoin has “truly shifted” its structure to produce a clean break with the bear market in place since its latest all-time highs in November 2021.
“Bitcoin is doing its best to advertise to those who’d want to enter + hold for the next cycle higher. On the weekly chart, it’s printed its first higher highs (HH) since November ’21 and first higher low (HL) since January ’22,” he summarized.
“Traders now have clear invalidation and can cut longs on acceptance back into the range below 24k. Market structure has well and truly shifted.”
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Source : Cointelegraph.com