When Bitcoin (BTC) failed to hold above the $25,000 point it recently reached, it fell and recorded a series of losses. The bears are struggling to gain control over the price trajectory of the first cryptocurrency. Bitcoin has dropped below $24,000, which for now invalidates the asset’s effort to reclaim $25,000 as the next level of support.
Emphasis on the Technical Advantage of the Bulls
Amid the uncertainty, senior analyst Jim Wyckoff emphasized that Bitcoin bulls still have the overall technical advantage. In his February 28 analysis, Wyckoff noted that the strength of the bulls is waning, but that this may only continue for a while.
With Bitcoin’s momentum stalled, in part due to renewed concerns about the macroeconomic outlook for the United States, the analyst acknowledged that the leading coin needs continued buying pressure to restore its previous highs. He continued his words as follows:
The bulls still have an overall short-term technical advantage, but very little, as a price uptrend is present on the daily chart. The bulls have weakened recently and they need to show some new strength soon to keep the uptrend alive and maintain their technical advantage.
Popular Analyst Highlighted Key Points
Currently, Bitcoin is attempting to maintain support above $23,500 and $24,000 is acting as a key resistance level. In conclusion, crypto trading expert and analyst Michaël Poppe highlighted some of Bitcoin’s next key positions to watch out for.
In a tweet on February 28, Poppe pointed out that if Bitcoin surpasses the $ 23,800 support, it can make gains.
My thesis stands that I’m not interested until I break and protect $23,800 for support. After the hard rejection, it looks like we’re going to have a consolidation period in a relatively boring week. In this case, entry can be made to areas around $22,500.
Bitcoin’s latest correction came after the US January durable goods orders data were released on February 27. While the data pointed to a 4.5% decrease, it raised concerns among investors about the possibility of inflation and interest rate hikes. Concerns arose despite strong economic data. At the time of writing, Bitcoin was trading at $23,528, down about 3.7% weekly. Interestingly, as February ends, Bitcoin is trading above the end-of-month value of $20,254 set by the crypto community on CoinMarketCap.