Bitcoin (BTC) was flat at $39,000 until the close on Wall Street on Monday as stocks took the opportunity to recoup some losses.
The bulls need a “miraculous” recovery to the $40,600 level
Data from Cointelegraph Markets Pro and TradingView showed that the BTC/USD pair was flat at the opening bell on March 14.
The pair recovered from a last minute drop at the weekly close on Sunday to avoid a deeper pullback so far.
However, The week would bring many potential challenges for the bulls, starting with a European vote on banning cryptocurrencies with proof-of-work algorithms on Monday.
Wednesday, however, was the main focus, this being the day the US Federal Reserve was due to announce a key rumored interest rate hike of 25 basis points.
In the meantime, Geopolitical tensions around the Russian invasion of Ukraine, coupled with the resurgence of the coronavirus in China, added to the list of obstacles.
Therefore, heTraders were muted on the immediate outlook, given what the market had to navigate. For Crypto Ed, the 0.618 Fibonacci level at around $40,400 was set to form a local top before a deeper pullback took hold.
Only a “miraculous” rally to $40,600, he said, could produce a bullish outcome.
#BTC
Looking for a retrace to the .618fib which lines up with taking out latest top (stop hunt)
Pic 1: take out the low TF range high
Pic 2: lines up with my S/R at 40.6kGoing short when sweeping the highs in a SFP.
Long when a miracle happens and clear reclaim of $40.6k pic.twitter.com/Ic3uNTxGGH— Ed_NL (@Crypto_Ed_NL) March 14, 2022
BTC
Looking for a pullback to the .618fib that lines up with the removal of the last top (stop hunting)
Image 1 – Remove Low TF High Range
Image 2 – Aligns with my S/R at 40,600Go short when sweeping highs on an SFP.
Long when a miracle occurs and clear recovery of the $40,600 level
Meanwhile, the trader and analyst Anbessa highlighted a breakpoint of $37,600 for the bulls to defend.
On the live order book charts, On-chain monitoring resource Material Indicators further flagged further selling pressure appearing at $40,000 on Monday.
“The new BTCUSDT pair solicitation liquidity that just surfaced seems to be trying to push price down to the bid scale below. Expecting it to pull back if bids get filled,” commented the account on a chart showing the changes in the Binance order book.
Bloomberg Analyst: Bitcoin “Cold” vs. Oil
Looking at longer timeframes, Bloomberg Chief Intelligence Strategist Mike McGlone doubled down on his view that Bitcoin would ultimately emerge stronger from the current turmoil.
Bitcoin, he noted that day, was defying an “ebb tide” in demand for risky assets by protecting most of its support.
“The fact that one of the most volatile and best-performing assets since the financial crisis, Bitcoin, shows relative buoyancy in a ebbing tide of risky assets in Q1 may herald the maturation of cryptocurrencies towards digital collateral, in a world that goes that way”, argument next to a chart comparing WTI oil to BTC.
Commodities continued to be the biggest movers at the start of the week, while oil futures, however, started to cool off.
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