Bitcoin (BTC) is on target to end the week in the red, but a positive sign for the bulls is that the price has recovered from the intra-week low of about $61,000 to over $65,000. This shows that traders remain long-term bullish and are buying the dips.
CryptoQuant CEO Ki Young Ju expects inflows into spot Bitcoin exchange-traded funds (ETFs) to increase if Bitcoin nears support levels. Young Ju said the new Bitcoin whales, who purchased Bitcoin ETFs, have an on-chain cost basis of $56,000. He anticipates buying to pick up if Bitcoin’s price reaches $56,000.
Crypto market data daily view. Source: Coin360
Another positive sign that could support Bitcoin’s price is that outflows from the Grayscale Bitcoin Trust (GBTC) are slowing down. According to Fairside Investors data, the outflows from GBTC dropped to just $170 million on March 22. This suggests that the selling pressure could be reducing. If Bitcoin ends March above $61,130, it would be the first-ever seven-month winning streak.
Could a recovery in Bitcoin trigger buying in select altcoins? Let’s look at the top 5 cryptocurrencies that look strong on the charts.
Bitcoin price analysis
Bitcoin has been trading near the 20-day exponential moving average ($65,364) for the past few days, indicating a battle between the bulls and the bears for supremacy.
BTC/USDT daily chart. Source: TradingView
The 20-day EMA is gradually flattening out, and the relative strength index (RSI) is near the midpoint, indicating a balance between supply and demand. The BTC/USDT pair could swing between $60,775 and $69,000 in the near term.
If the price remains below the 20-day EMA, the support zone between the 50-day simple moving average ($58,438) and $60,775 may come under pressure. If this zone cracks, the correction could deepen to the 61.8% Fibonacci retracement level of $54,298.
On the upside, a break and close above $69,000 could open the doors for a retest of $73,777. If this resistance is scaled, the pair may ascend to $80,000.
BTC/USDT 4-hour chart. Source: TradingView
The 4-hour chart shows the bears are capping the relief rallies at the 50-SMA. Hence, this becomes an…
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