Bitcoin has been trading within a range defined by the 20-day exponential moving average ($29,854) and the resistance level at $31,000. This consolidation indicates a sense of uncertainty among both bullish and bearish market participants regarding the next significant move. Buyers are likely to make another attempt to break above the resistance at $31,500. The anticipation of a 25 basis point rate hike by the Federal Reserve has put pressure on the U.S. equities markets, leading to a decline in all three major indices for the week.
At the time of writing BTC was trading at $30,090.
BITCOIN after correcting almost by 20% from $31,000 to $24,800 took multiple support at the key level of $25,000 (Horizontal Trendline, 200 Day Moving Average & 50% Fibonacci retracement Level) and started moving upwards. The prices rallied almost by 26% and made a high of $31,500 within nine trading sessions. However, the bulls are struggling to sustain and give a daily close above the previous high of $31,000. Currently, the asset is consolidating around $30,000 and is trying to make a ‘Bullish Flag’ pattern. $32,500 will be the major hurdle for the Bulls. If BTC breaks, closes and sustains above the key resistance then we can expect further rally whereas $28,500 will act as a strong support for the asset.
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