The cryptocurrency market was relatively calm over the weekend as correction sets in for most of the digital assets, especially Bitcoin’s rejection on a $16,000 attempt. However, BTC/USD returned from support at $14,500 as buyers’ focus on recovery from seeking a market bottom. After a $16k attempt, BTC/USD stays range-bound as long term volatility stays intact. The lead crypto registers an intraday high at $15,856 and has a current total value of $280.17 million, with $33.25 million in trade volume over the past 24 hours. Following an impressive prior week, BTC achieved a new yearly high of $15,977. BTC/USD is presently trading at $15,049 as its recovery lost steam. Bitcoin sell-off accelerates on Coronavirus vaccine optimism amid decreasing bids for safe-haven assets. Investors are leaning towards a bullish US Dollar Index (DXY). Pfizer, a pharmaceutical company, and BioNTech SE – its partner – showed positive results in their vaccine trials against the novel coronavirus.
*BTC/USD returned from support at $14,500 shifting buyers’ focus to recovery from seeking a market bottom
*After a $16k attempt, BTC/USD stays range-bound as long term volatility stays intact
*Bitcoin sell-off accelerates on Coronavirus vaccine optimism amid decreasing bids for safe-haven assets
Key Levels
Resistance Levels: $17,000, $16,500, $16,000,
Support Levels: $15,000, $14,500, $14,000
BTC/USD Daily ChartAfter a downside correction, BTC found support near the $14,500 level. BTC traded as low as $14,380 and started a steady upward move reaching an intraday high at $15,856 before the $16,000 resistance levels. If the price fails to stay afloat at the mid $15,000, there is a risk of a fresh decline. Initial support is at the $15,000 level and may reduce the selling pressure.
The recent low at $14,380 established may act as a potential level, followed by $14,500 as the support area between $14,000 and $15,000 that outweighs the resistance range at $15,500 – $16,000. Considering that the daily MA 50 and MA 200 remains bullish, a breakout above $16,000 could drive Bitcoin price towards $20,000.
BTC/USD 4-Hour ChartOn the 4-hour time frame, BTC/USD has staged a technical pullback, with the lead cryptocurrency retracing back beneath the $15,000 support. The sudden plunge in BTC/USD appeared to coincide with the coronavirus vaccine optimism. Technical analysis suggests that BTC has the potential to rally towards the $16,000 to $20,000 area over the medium-term.
On the flip side, expectations of a Bitcoin correction, a downside break beneath the $15,000 risks a drop towards the $14,500 and $14,000 support levels in the coming sessions. The BTC/USD pair is only bullish while trading above the $14,500 level, with resistance, found at the $15,500 and the $16,000 levels. If the BTC/USD pair trades below the $14,500 level, sellers may test the $14,000 and $13,500 level.
Note: Kryptomoney.com is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results
Image Credit: Shutterstock
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
