Bitcoin must close above $21.9K to avoid fresh BTC price crash — trader


  • BTC Strength
  • Ethereum, Cardano lead altcoins as ETH outflows rise

BTC Strength

Bitcoin (BTC) discovered energy at $22,000 into July 24 with bulls nonetheless aiming for a stable inexperienced weekly close.

BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

Classic ranges for end-of-week price focus

Data from TradingView confirmed BTC/USD halting a weekend drop at $21,900 to return in the direction of the $23,000 on the day.

The pair held a buying and selling vary carefully centered on key long-term trendlines, which analysts had beforehand described as important to reclaim.

These included the 50-day and 200-week shifting averages (MAs), the latter significantly essential as help throughout bear markets however which had acted as resistance since May.

“Bullish that we completely held the 13d ema + horizontal 21.9k,” common Twitter buying and selling account CryptoMellany argued in a part of her latest update on the day.

“I feel we’ll dangle round 22.5k for at present’s weekly close, new week beginning with motion down to 21-21.6k after which up for the remainder of the week, forming a bull flag.”

The 50-day and 200-week MAs stood at $22,370 and $22,690, respectively, on the time of writing, with spot price at $22,670.

BTC/USD 1-day candle chart (Bitstamp) with 50, 200-day shifting common. Source: TradingView

Continuing, fellow trader and analyst Jibon described the upcoming weekly close as “very essential.” An accompanying chart singled out $21,944 and $22,401 because the traces within the sand for a “dangerous” or “good” close.

Earlier within the week, Jibon had warned that such a “dangerous” consequence may very well be the beginning of a retracement to new macro lows for Bitcoin — as little as $12,000 — which continued energy might gasoline a aid rally as excessive as $40,000.

If it had been to close at present ranges, BTC/USD would seal its highest ranges since mid-June.

BTC/USD 1-week candle chart (Bitstamp). Source: TradingView

Ethereum, Cardano lead altcoins as ETH outflows rise

On altcoins, Ether (ETH) and Cardano (ADA) had been the standout weekend performers as each rejected decrease ranges.

ETH/USD 1-hour candle chart (Binance). Source: TradingView

ETH/USD returned to $1,600 on the day, whereas ADA/USD likewise regarded to problem its $0.548 peak from in the course of the week, this marking its finest efficiency since June 12.

ADA/USD 1-day candle chart (Binance). Source: TradingView

Analyzing the present atmosphere, merchants famous the importance of Ethereum’s 2018 excessive of $1,530, a degree which grew to become long-term resistance and which returned as resistance once more in June.

As price motion strengthened, in the meantime, outflows of ETH from main exchanges intensified. On July 22, in accordance to information from on-chain analytics agency CryptoQuant, these flows totaled 1.87 million cash.

ETH outflows chart. Source: CryptoQuant

The views and opinions expressed listed below are solely these of the creator and don’t essentially mirror the views of Every funding and buying and selling transfer includes danger, it’s best to conduct your personal analysis when making a choice.

*This article originally appeared in Cointelegraph.

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About the Author: Daniel