As we had mentioned in the previous analysis, Bitcoin has not resumed its uptrend yet. The bulls are facing selling near the downtrend line but the positive sign is that the buyers are not allowing the price to dip below the 20-day EMA. This suggests demand dries up at higher levels but traders are buying the dips. The upsloping moving averages and the RSI in the positive territory suggest bulls have the upper hand. If the buyers push the price above the downtrend line, the BTC/GBP pair may again attempt to retest the all-time high at £30,936.
Traders who had bought on the breakout and trailed their stops higher according to our suggestion could have exited at a small profit. The biggest cryptocurrency broke out of the overhead resistance at £44,238 and made a new all-time high at £47,240.05 on April 14. Bitcoin Price GBP, we had mentioned that shorting opportunities may open up for professional traders and that is what happened. Bitcoin broke below the £38,000 support on May 12, which triggered panic selling.
A breakout and close above the 50-day SMA will clear the path for a stronger recovery that may reach the 61.8% Fibonacci retracement level at £33,902.53 and then £38,000. Conversely, if the price turns down and breaks below the 20-day EMA, it will suggest that traders are squaring their positions on rallies. The moving averages have completed a bullish crossover and the RSI is in the positive territory, suggesting that bulls have the upper hand. If the BTC/GBP pair rebounds off the 20-day exponential moving average , the bulls will make one more attempt to clear the overhead hurdle at £31,005. This bullish view will invalidate if the btc to gbp price breaks below the 20-day EMA.
The next leg of the downtrend could begin on a break and close below £29,000. The sharp fall of the past few days sent the relative strength index near to 20 levels indicating that the selling had been overdone in the short term. Usually, deeply oversold levels are followed by a minor relief rally or consolidation. The 20-day simple moving average has flattened out and the relative strength index has jumped into the positive zone, indicating buyers a slight edge. Bitcoin price GBP witnessed frenzied buying on January 29, which pushed the price above the downtrend line, resulting in a short squeeze that drove the price to £28,000. However, the bulls could not hold on to the breakout and the price gave back a large part of its gains and re-entered the triangle on the same day.
The upsloping 20-day EMA and the RSI above 62 suggest advantage to the bulls. Therefore, traders who had purchased on the rebound off £21,000 as suggested in our earlier analysis may trail their stops to breakeven. The flattish 20-day EMA and the bullish divergence on the relative strength index indicate a minor advantage to the bulls. If the xbt to gbp price rebounds off £23,620, the bulls will make one more attempt to drive the price above the 50-day SMA.
This bullish view will be invalidated if the pair turns down from the current level and plummets below the £20,000 support. Therefore, relief rallies to the 20-day EMA are likely to be sold into. With buyers stepping in at £21,000 and sellers at £31,005, the stage seems to be set for a consolidation between these two levels for a few days. However, if the bears sink the price below £21,000, the selling could intensify and the pair could drop to £15,000.
If bears pull the price below £23,620, the BTC/GBP pair could retest the critical support at £21,000. A break below £21,000 could result in panic selling and the xbt to gbp pair could plummet to £15,000. However, the bulls could https://cryptolisting.org/ not sustain the Bitcoin price GBP above £44,238 and the BTC/GBP pair dipped back below this level on April 17. This resulted in sharp selling by short-term traders and the price plunged below the 50-day SMA on April 18.
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This level has held successfully twice before, hence the bulls will again try to defend the support. A strong rebound from the £21,000 to £23,620 support zone will indicate accumulation by the bulls while a shallow bounce will enhance the prospects of winr coin a further slide. If bears sink the price below £21,000, the selling could intensify and the pair may drop to £15,000. This negative view will invalidate if the price rebounds off the current level and breaks above the 50-day simple moving average .
- This is an important support to watch out for because if it cracks, the pair could drop to £36,777.
- The longer the price remains below the 20-day exponential moving average , the greater is the possibility of a continued downside.
- Bitcoin price GBP has been sustaining above the £30,936 breakout level for the past few days, but the momentum has not picked up.
- The buyers will now have to drive the price above £41,795 to resume the uptrend.
This may have prompted selling from traders who had purchased the dip to the 100-day simple moving average . The selling intensified on a break below the 100-day SMA and the BTC/GBP pair plunged to £34,031.76. The BTC/GBP pair plunged below the strong support at £34,031.76 on January 4.
Bitcoin (BTC)=0 USD
A sharp bounce off the 50-day SMA could offer a buying opportunity to traders as that will suggest that sentiment has turned positive and traders are buying on dips. If buyers drive the pair above the overhead zone, the next stop could be the 200-day SMA. We had mentioned in our previous analysis that the bears will defend the zone between £32,382 and £34,032 aggressively and that is what happened. Bitcoin turned down from £33,987.99 on March 2 and broke below the moving averages on March 4. This negative view will invalidate if the price rebounds off the current levels and rises above the August 23 intraday high of £36,999.
The BTC/GBP pair has broken below the critical support at £23,620 today. This opens the door for a drop to the £21,000 to £20,000 support zone. Bitcoin Price GBP, According to our assumption outlined in the previous analysis, the bulls could not push the price above the downtrend line. That led to a sharp fall below the 20-day EMA on January 21 and Bitcoin dropped to the 50-day SMA on January 22. Although the price rebounded off the 50-day SMA, the bulls could not push and sustain the price above the 20-day EMA.
The downsloping 50-day SMA and the relative strength index in the negative zone indicate that bears are in control. If bears pull the price below £34,000, the selling could intensify and the pair could extend its downtrend. If the price turns down from the overhead resistance, the pair could consolidate between £29,000 and £34,031.76 for a few more days.
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The stop-loss for this trade could be kept below the 20-day EMA initially and can be trailed higher as the Bitcoin price GBP moves northwards. Contrary to this assumption, long positions may be avoided if the price breaks below the 20-day EMA. The relief rally is likely to face stiff resistance at the moving averages.
This negative view will invalidate if the bulls push and sustain the price above £31,005. A short-term trading opportunity may present if the price rebounds off the £21,000 to £22,000 range in the next few days. Traders may buy on the bounce off this zone with the stops at £20,800. If the bulls can drive the btc price gbp above the all-time high and sustain the breakout for two days, it will signal the start of the next leg of the uptrend. Contrary to this assumption, if the bears sink the price below the 20-day EMA, the BTC/GBP pair could retest the critical support at the 50-day SMA. This is an important support to watch out for because if it cracks, the pair could drop to £36,777.
Contrary to this assumption, if the price turns down from the current level, the zone between £38,000 and the 20-day EMA is likely to act as a strong support. Bearish sentiment continued last week especially after Tuesday’s big sell off in the markets as Bitcoin once more came under heavy selling pressure. A break and close above this level could open the doors for a possible rally to £45,306.70 and then to the all-time high at £51,000. The moving averages are on the verge of forming a death cross and the relative strength index is near the oversold zone, indicating that bears are in command. This positive view will be invalidated if the price turns down from the current level and breaks below the 50-day SMA. Such a move will indicate that the pair remains range-bound between £24,450 and £34,032.
GBP AND BTC- PRIMARY DIFFERENCES
Bitcoin broke below the 20-day exponential moving average on October 27 but the bulls did not allow the bears to have their way. Strong buying at lower levels pushed the price back above the 20-day EMA on October 28. The BTC/GBP pair dropped to the 20-day exponential moving average on February 14, which has acted as strong support.
The BTC/GBP pair is likely to remain stuck between £24,450 on the downside and £34,032 on the upside. While DOGE saw a big push this week, in terms of seven-day gains, numerous other meme tokens saw much larger gains than the doge father of meme coins. For instance, some coins like spookyshiba have seen triple-digit gains. Kuma inu has spiked 112.9% and shiba fantom increased 109% over the last seven days.
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If buyers sustain the price above £31,005, the pair could start its journey to £36,000 and then to £38,000. The rising moving averages and the relative strength index in the overbought zone suggests that bulls are in control. This positive view will invalidate if the bears pull the price back below the 20-day EMA. The btc to gbp pair is likely to face stiff resistance at the 61.8% Fibonacci retracement level at £36,834.35 and then again at £38,000. If the price turns down and breaks below £35,280, the pair could decline to the 20-day EMA.
The first support on the downside is £30,000 but if this level gives way, the decline could extend to £26,845. The BTC/GBP pair could rise to the breakdown level at £29,000 where the bears may again mount a strong resistance. Both moving averages are sloping down and the relative strength index is close to the oversold levels, indicating that bears are in command. The BTC/GBP pair turned down on February 26 but strong buying on February 28 propelled the price above the 50-day SMA. The rally has reached the strong resistance zone of £32,382 to £34,031. Both moving averages have flattened out and the relative strength index is near the midpoint, indicating a range-bound action in the near term.
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