The Bitcoin (BTC) price has risen steadily in recent weeks, reaching a new high of around $ 57,500 on February 20th.
Several optimistic news emerged this week, such as the allotment of the first listed German company to its bitcoin cash reserves, as well as the launch of the first Bitcoin ETF in Canada, which traded over $ 220 million in its early days.
News like this feeds on the price of bitcoin, while Elon Musk has also adopted the latest laser eye meme, much to the delight of scammers who are hungry for 100,000 BTC. However, the next major point of interest is around $ 63,000, and this can be achieved relatively soon if Bitcoin can stay above any of the key support levels.
Bitcoin continues to rise, maintaining critical levels
Bitcoin’s 4-hour chart shows a clear bullish path when it broke out from $ 30,000 to $ 42,000. The critical levels of $ 44,000 and $ 50,000 have been supported since then, and served as a launch pad for ongoing collections over $ 55,000.
This outflow is also due to a reduction in reserves on the stock exchanges. This is very similar to the end of 2016 when bitcoin was withdrawn from stock exchanges rather than deposits. These withdrawals mean that people will keep their bitcoins for a long time, which indicates high demand and low time settings.
During the last rally, the first Fibonacci level was reached at 1,618. Bitcoin is now approaching another point of interest on Fibonacci 2,618, around $ 63,000.
On the other hand, the $ 50,000 level is critical in the 4-hour chart. If this support continues, there is a good chance that the bitcoin price will reach that level after that. But if he loses $ 50,000, a bigger drop to $ 43,000 can be expected.
Meanwhile, the total market value of cryptocurrencies in this cycle is approaching $ 2 trillion, which many did not expect last year.
However, after reaching a full-time high in 2017, the next level of interest is $ 1.2 trillion, which is also the 1,618 Fibonacci range.
This area is broken higher, and the market value is now targeting $ 1.85 trillion, Fibonacci level 2,618. The chart also shows a large gap between the 21-week moving average and the current price, which indicates that the rally may be too long.
Historically, the end of February and March has not been optimistic for the market, so the correction should not come as a surprise. In this case, the $ 1.2 trillion retest is definitely on the table.
Critical levels for Bitcoin price tracking
In trading, it is about maintaining critical support levels for a more bullish or declining momentum. In this case, the first major levels in the range are $ 43,000 to $ 44,000, and the other major levels are at the $ 50,000 level.
However, the same can be said for the $ 55,000 level on lower time frames, especially the candlestick chart per hour. If this is overlooked, there is a gap in the next support area, which means that an eruption to the $ 50,000 level can be expected.
However, as long as $ 55,000 is held back, there is nothing to stop the Bitcoin price from reaching the next Fibonacci level of $ 63,000.