Bitcoin (BTC) starts a new week in recovery mode after an unusually volatile weekend sparked heavy losses.
BTC price action is struggling to reclaim old all-time highs after days of sustained selling pressure — can bulls turn the tide?
A key macroeconomic week ensures that unpredictable trading conditions will continue as both crypto and risk assets await cues from the United States Federal Reserve. The battle against inflation rages on, and more recent data suggests that inflationary forces are not giving up without a fight.
With BTC/USD acting within a critical zone that must be reclaimed for price discovery to continue, there is everything to play for this week.
Bitcoin is now just one month away from its next block subsidy halving and could be repeating history with a classic pre-halving retracement.
Cointelegraph takes a closer look at these issues and others at hand in the weekly rundown of what could impact BTC price action in the coming days and beyond.
BTC price “defensive” below key resistance
A brutal weekend for bulls hoping for a break soon placed Bitcoin at its lowest levels since March 6.
Bouncing near $64,500, BTC/USD then produced a solid recovery, almost reaching the $69,000 mark before encountering fresh losses at the weekly close.
At the time of writing, the pair circled $68,000, per data from Cointelegraph Markets Pro and TradingView, still unable to crack the area well known as the site of its old all-time highs from 2021.
BTC/USD 1-day chart. Source: TradingView
Analyzing the current setup, [popular trader Skew flagged the 21-period exponential moving average (EMA) on the 4-hour chart as a line to reclaim next. Bitcoin’s relative strength index (RSI) readings on 4-hour timeframes, currently at 48.2, should also return above 50.
“Still need a strong close above 4H 21EMA & RSI above 50 In confluence with reclaim of $69K – $70K,” part of his latest post on X (formerly Twitter) read.
“Those are the crucial confirmations for higher, till then a bit defensive.”
Bitcoin selling pressure was nonetheless unusually intense for a weekend with the absence of institutional trading.
One theory…
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