“Volatile” is the word of the month, and that is exactly what crypto investors saw today as Bitcoin (BTC) soared after concerns about the Biden administration’s executive order on cryptocurrency turned out to be “nothing.”
Data from Cointelegraph Markets Pro and TradingView shows that after trading near $39,000 in recent days, bitcoin price rose 10.42% to an intraday high of $42,606 as cautious traders returned to the market.
BTC/USDT 1-day chart. Source: Trading View
Here’s what traders and market analysts have to say about this latest move, as well as areas of support and resistance to watch.
Another pump, same story.
Bitcoin’s move on Wednesday was merely a repetition of recent behavior, according to a crypto analyst and Twitter user with the pseudonym “Plan C,” who posted the following chart saying, “Annlace pump, same story.”
Bitcoin’s upper and lower trend support ranges. Source: Twitter
Plan C continues:
“#BTC needs to break out of the ‘downtrend resistance range’, also known as the uptrend support range, and then hold it as support. Otherwise, it’s just another screaming wolf move. Update support ranges: $43,564-$46,265.”
Independent market analyst “Crypto_Ed_NL” agreed with this sentiment and suggested continuing sideways trading in the post below.
BTC/USD on the 4-hour chart. Source: Twitter
“No, this is not a new Elliott Wave theory…I think that is what will happen next.
Arrogance not recommended!
Analysts at Delphi Digital noted that Bitcoin is now following a “simple trend line connecting the local highs of December 2021 and February 2022.”
BTC/USD 12 hour chart. Source: Delphi Digital
According to Delphi Digital, now that BTC is back above $40,000, traders should “look for that level in the $42,500-$43,000 area for a test,” which is exactly what happened in the March 9 trade.
Delphi Digital SA:
“Controversial sentiment analysis is often a good starting point to start looking for deals very similar to the recent short-term price rally beyond the $34,000 low, but we caution that deteriorating macro and global conditions remains a key factor in market development in this region., The time is right.”
Related: Price Analysis 3/9: BTC, ETH, BNB, XRP, LUNA, SOL, ADA, AVAX, DOT, DOGE
Bitcoin Should Close Above $43,100
Independent market analyst Rekt Capital released the following chart, which highlights that “#BTC has risen above the $43,100 resistance level for several weeks in some cases over the past few weeks (orange circle).”
BTC/USD weekly chart. Source: Twitter
Rect Capital SA:
“This is why it is important for $BTC to close above this level on a weekly basis, as happened in the previous blue circle in August 2021.”
The total cryptocurrency market capitalization now stands at $1.839 trillion and the Bitcoin dominance rate is 43.5%.