Bitcoin (BTC) remained clinging to $30,000 on May 23 as the start of trading on Wall Street failed to spark volatility.
Will Bitcoin swing before the “true breakout”?
Data from Cointelegraph Markets Pro and TradingView showed that the BTC/USD pair has been holding in a tight trading range since before the weekend.
The pair closed the week with its eighth consecutive weekly red candle, turning into a record bearish amid a lack of overall price path.
Amid the consensus that the macro fund has yet to occur, bullish forecasts on the price of BTC were slim on the day.
Nevertheless, For on-chain tracker Material Indicators, there were signs on the day that market participants were bracing for the upside ahead of any capitulation.
“The TA looks good, the market is asking for a rally and the indicators point to the long term, but that doesn’t mean it has to happen the way you think,” tweeted.
“FireCharts showing resistance ~$30,700 and further stacked ~$32,000. BTC could swing before a real breakout.”
The attached chart identified the buy and sell levels in the order book of the major exchange Binance.
A previous post admitted that creator Material Scientist did not believe Bitcoin had yet bottomed, while technical signals still pointed to incoming gains.
— Rekt Capital (@rektcapital) May 23, 2022
The new #BTC weekly candle has closed as a bullish hammer candle
Supporting the bullish thesis was the weekly post-close chart, which popular trader and analyst Rekt Capital noted had given an encouraging formation.
The DXY extends its fall
Macroeconomic conditions were buoyed by US signals on the day, with President Joe Biden’s China trade tariff easing plan buoying markets ahead of the open.
At the time of writing, the S&P 500 was up 0.66%, while the Nasdaq 100 similarly avoided further losses.
In a new boost for risk assets, US dollar strength also continued to decline, with the US dollar index (DXY) retreating further from its twenty-year highs.
“DXY deviation extends further lower. Expecting lower unless 104 can be recovered,” noted the commentator Johal Miles.
Analyst Kevin Svenson, for his part, said that it will be the actions that decide where the BTC/USD pair goes.
“BTC is 1-2 days away from giving us some fireworks,” tweeted.
“Which path will it take? … the Stock Exchange will decide the fate of Bitcoin.”
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