Bitcoin support levels to watch as BTC price aims at $28K

nestorsauer8 18. August 2023 0

Bitcoin (BTC) is struggling to keep away from additional losses this week as an prolonged sideways buying and selling interval dangers ending in a breakdown.

BTC price motion, lengthy constricted by resistance above $30,000, is trying more and more unstable, information from Cointelegraph Markets Pro and TradingView reveals.

The newest Federal Reserve minutes served to sharpen Bitcoin bears’ recreation on their launch on Aug. 16, with buyside curiosity declining to ship BTC/USD to close to two-month lows of $28,300.

Given the slim buying and selling vary in place since June, the drop was vital, even when totaling lower than $1,000 in U.S. greenback phrases.

Now, merchants and analysts are getting ready for additional support retests, together with levels not seen since earlier within the yr.

BTC/USD 1-day chart. Source: TradingView

Classic Bitcoin bear market lifeline again on the map

The prime to close to $28,000 has positioned main long-term pattern strains again in focus for Bitcoin market observers.

Among these is James Straten, analysis and information analyst at crypto insights agency CryptoSlate. For him, each the 200-day and 200-week easy shifting averages (SMAs) are the strains within the sand for bulls.

The 200-week SMA is a basic support line in periods of downward BTC price strain, and shedding it’s a phenomenon characterizing the pit of Bitcoin bear markets.

2022, nonetheless, noticed Bitcoin’s longest-ever spell under the 200-week SMA.

This month, the evaluation predicted that holding the important thing pattern line could be one issue permitting BTC price efficiency to flip “full bull” next month.

BTC/USD 1-week chart with 200 SMA. Source: TradingView

Trend line cluster lurks above $27,000

The significance of the present Bitcoin spot price vary turns into obvious when taken from the attitude of support pattern strains.

Various pattern strains, together with easy (SMAs) and exponential (EMAs) shifting averages, now kind a cluster between $27,000 and $28,600.

As Cointelegraph reported earlier within the day, the short-term 100-day SMA is presently being examined as support as a part of the Aug. 17 each day candle.

$28,000 nonetheless “heavy” BTC price support

As a psychological basis, in the meantime, $28,000 stays firmly intact within the eyes of the market.

Related: Bitcoin speculators now own the least BTC since $69K all-time highs

For widespread dealer CryptoCon, there stays no need to fear over a major crash any decrease, and different “bullish supports” ought to maintain out towards bears, as properly.

“Bitcoin drops a whopping 700 dollars and bears are euphoric. Meanwhile, healthy bullish supports are completely intact,” a part of an X submit on the day said.

“$28,000 remains heavy support on all time frames. Will these bullish supports hold? I think so!”

BTC/USD annotated chart. Source: CryptoCon/Twitter

CryptoCon constructed on an present comparability to BTC price in 2015-2016, when the market was getting ready the bottom for a bull run to its final cycle’s $20,000 peak.

Magazine: Deposit risk: What do crypto exchanges really do with your money?

This article doesn’t comprise funding recommendation or suggestions. Every funding and buying and selling transfer entails danger, and readers ought to conduct their very own analysis when making a call.