Bitcoin (BTC) is set to finish the week with a loss, but there are positive signs that indicate bullish sentiment among traders. The price of Bitcoin has recovered from its intra-week low of around $61,000 to over $65,000, showing that traders are buying the dips and remaining optimistic in the long term.
According to CryptoQuant CEO Ki Young Ju, inflows into spot Bitcoin exchange-traded funds (ETFs) are expected to increase if Bitcoin approaches support levels. Young Ju mentioned that new Bitcoin whales who purchased Bitcoin ETFs have a cost basis of $56,000, and he anticipates more buying activity if the price of Bitcoin reaches that level.
Another positive sign for Bitcoin is the slowing down of outflows from the Grayscale Bitcoin Trust (GBTC). Data from Fairside Investors shows that outflows from GBTC dropped to just $170 million on March 22, suggesting a reduction in selling pressure. If Bitcoin ends March above $61,130, it would mark the first-ever seven-month winning streak.
The analysis of Bitcoin’s price shows that it has been trading near the 20-day exponential moving average ($65,364), indicating a battle between the bulls and bears. The 20-day EMA is flattening out, and the relative strength index (RSI) is near the midpoint, signaling a balance between supply and demand. The BTC/USDT pair could swing between $60,775 and $69,000 in the near term.
If the price remains below the 20-day EMA, the support zone between the 50-day simple moving average ($58,438) and $60,775 may come under pressure. A break below this zone could deepen the correction to the 61.8% Fibonacci retracement level of $54,298. On the upside, a break and close above $69,000 could lead to a retest of $73,777, and if that resistance is breached, the pair may ascend to $80,000.
The 4-hour chart for Bitcoin shows that relief rallies are being capped by the 50-SMA, which becomes an important level to watch. If the price breaks above the 50-SMA, it suggests a reduction in bearish pressure, and the pair may rise to $69,000, a major hurdle. On the downside, immediate support levels are at $62,260 and $60,775, and a break below these levels could trigger more selling, potentially bringing the pair to $59,000.
Moving on to altcoins, Dogecoin (DOGE) has been trading within a range of $0.12 and $0.19. The recent break above the $0.16 hurdle opens the door for a rise to $0.19, and if that level is surpassed, the next targets are $0.23 and $0.30. However, a sharp downturn from $0.19 would indicate continued bearish activity, and the support level to watch is $0.12.
Toncoin (TON) has surged above the $4.60 resistance, signaling the start of the next leg of the uptrend. The moving averages and the RSI in the overbought zone suggest that buyers are in control. Profit booking above $5 could lead to a temporary pullback, but if the price remains strong, the TON/USDT pair could extend the rally to $5.64. On the downside, a sustained move below $4.60 could attract short-term traders to book profits, potentially pulling the pair to the 20-day EMA ($3.79).
Stacks (STX) broke above the $3.40 resistance, confirming the continuation of the uptrend. Both moving averages are sloping up, and the RSI is near the overbought zone, indicating a bullish advantage. A sustained price above $3.40 could lead to a rally to $4.29. However, a downturn below $3.40 would suggest a rejection of higher levels and could push the pair to the 20-day EMA ($3.07) or the 50-day SMA ($2.65).
Fantom (FTM) saw profit booking near $1.23, and the bears are attempting to push the price below $1.02. If they succeed, the FTM/USDT pair may fall to the 20-day EMA ($0.89). However, a strong rebound from the 20-day EMA would indicate continued buying interest, potentially leading to a retest of $1.23 and further gains. On the downside, a break below the 20-day EMA could result in a drop to $0.72.
It’s important to note that this article does not provide investment advice or recommendations. Readers should conduct their own research and make informed decisions when it comes to investing or trading.