Story by: Azeez Mustapha
BTCUSD Medium-term Trend: Bullish
- Resistance levels: $7,000, $7,200, $7,400
- Support levels: $3,900, $3,700, $3,500
On February 23, the bulls tested the $4,200 resistance level but were resisted. The bears broke the 12-day EMA, the 26-day EMA and the support levels of price. The support levels are now resistance levels to the price of Bitcoin as the price trends above the EMAs.
On February 25, the bulls were resisted as the price trended above the 12-day EMA but below the $3,900 resistance level. On March 15, the bulls broke the $3,900 resistance level but are likely to face the $4,100 and $4,200 resistance levels. On the upside, the bulls will break the resistance level if more buyers are introduced at the upper price levels.
Meanwhile, the stochastic indicator is at the overbought region but above the 80% range which indicates that the crypto is in a strong bullish momentum and a buy signal.
BTC/USD Short-term Trend: Ranging
On the 4-hour chart, the price of Bitcoin had been trading in a tight range between the levels of $3,960 and the $4,000. On March 15, the bulls commenced a bullish trend but were resisted at the $4,000 price level. The crypto’s price had been trading within this range and has been resisted on three occasions.
On March 20, the bulls broke out this range but were resisted at the $4,040 price level. The price fell into the previous range of $3,960 and $4,000. Meanwhile, the stochastic band is at the overbought region but below the 60% range which indicates that the crypto is in a bearish momentum and a sell signal.