With a decent amount of price movement this week, bitcoin’s price looks interesting as it potentially eyes the $4,000 zone yet again. Let’s see what the charts have to say.
Weekly chart
Bitcoin’s weekly candle chart looks interesting as the 200-week moving average (MA) appears to have provided a nice level of support.
Price action for crypto’s largest asset appears to be in a similar range seen around August and September of 2017. If price breaks out of this zone to the downside, the green box below, starting at roughly $1,900, might look to be an interesting possible support zone.
Similar rangebound trading activity in the orange zone might be another potential outcome if price boldly drops out of the red zone.
Daily chart
Bitcoin’s daily candle chart shows price sitting right around the middle Bollinger Band (red line). This level possibly could act as support for another push upward in price.
On March 4 and 5 price also dropped down to the McGinley Dynamic (yellow line) and seemingly held it as support before moving back up. DataDash YouTube channel host Nicholas Merten mentioned the McGinley Dynamic’s possible significance and relevance in a recent video.
Overall, price still seems to lie between the $4,300 range and the $3,100 range since the most recent major possible price bottoming event.
The red box looks to be a potential level of difficulty for bitcoin since the most recent $3,000 range bottom. Price does not appear to have successfully pushed above the red zone and held for another push upward.
Bitcoin’s price currently holds above the 50-day MA. Additionally, the 100-day MA looks to have held as a very nice level of support lately, with price currently above it at the time of this writing.
The 200-day MA still, however, appears quite far away, relatively speaking.
4-hour chart
Bitcoin seems to have recovered after its most recent plunge toward the bottom Bollinger Band (bottom blue line), charging back upward through both the middle band and the McGinley Dynamic, testing the upper band. Price, as of this writing, lies between the upper band and the middle band.
Trading has been somewhat sideways and rangebound, as seen in the red box, since the big green March 5 candle. The bottom of the red range box appears to be within close proximity to the middle Bollinger Band and the McGinley Dynamic at the time of this writing, which could possibly end up as a level of support.
*This article is based on opinions, speculations and interpretations from the author and others, and is not in any way financial advice. Writing about price levels, charts, etc., is purely speculation, subject to speculatory bias. Nothing written is any kind of advice whatsoever. Proceed only at your own risk.
