Last Bitcoin support levels above $20K come into play as BTC price faces 'time of uncertainty'

2 years ago

Bitcoin (BTC) whitethorn yet reenter the $20,000 zone, but the coming weeks could supply a coagulated buying opportunity, a caller study forecasts.

In its latest market update connected Feb. 24, trading level Decentrader laid retired the last areas of enactment betwixt the existent Bitcoin spot terms and $20,000.

Analyst eyes BTC 20-week and 200-week MA for cues

Military enactment by Russia successful Ukraine has markets successful a spin Thursday, with stocks and crypto pursuing a steadfast downtrend arsenic uncertainty grips Asia, Europe and the United States alike.

Bitcoin has already mislaid 12% successful nether 24 hours, and expectations are that the worst is not yet implicit —reactions to the Russian violative proceed to travel in, on with imaginable fiscal sanctions.

As such, Decentrader, similar galore different analysts, is notably cautious connected immoderate trading decisions.

"During times of uncertainty specified arsenic this, it pays to beryllium precise wide connected your strategy. For traders, having wide invalidation levels and beardown hazard absorption volition let you to survive," expert Philip Swift summarized.

"For longer-term investors, we are approaching humanities large enactment levels, and anyplace successful this portion is apt to beryllium a bully spot to dollar-cost-average implicit the coming weeks."

While ne'er being threatened successful erstwhile carnivore markets, an implicit enactment successful the soil for bulls comes successful the signifier of Bitcoin's 200-week moving mean (WMA), presently sitting astatine $20,000 and inactive rising.

More likely, Swift believes, is simply a dip beneath $30,000 to deviations beneath the 20-week moving average, thing which characterized the pit of the March 2020 Covid crash.

"Should terms proceed to drop, the 20WMA Deviation bands item a portion of imaginable enactment for Bitcoin betwixt $29,382 and $25,253," the update explained.

"The past clip terms deviated that acold distant from the 20WMA was during the March 2020 covid clang – though we came precise adjacent successful the summertime 2021 clang also."

While hard to imagine, upside targets successful the lawsuit of a twist successful Bitcoin's fortunes are $37,500 and $41,100, it added.

Jaded Bitcoiners ticker arsenic golden booms

Decentrader is acold from unsocial successful advising traders not to fto emotion get the amended of them nether existent circumstances.

Popular Twitter relationship Chase likewise called for level-headed action, arguing that determination is nary request to wantonness semipermanent strategies.

"Most apt going to beryllium a volatile, header driven mates of days ahead. Most would astir apt beryllium amended disconnected level (maybe adjacent myself included), but clip volition tell. Typical trade, but volatile times. Caution recommended," helium wrote successful his latest update.

The battle betwixt golden and integer gold meantime continues to rage connected the day, with XAU/USD hitting $1,970 and BTC/USD lone marginally recovering from its overnight lows of $34,300.

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