It was a bullish Saturday, with BTC rising 0.06%, to end the day at $27,478. There were no crypto events to provide direction as investors considered market events for the week. Technical indicators remain bullish, with $30,000 still in sight.
On Saturday, Bitcoin (BTC) rose 0.06%. Following a 2.98% loss since Friday, BTC ended the day at $27,478. Despite the bullish session, BTC failed to reach the $28,000 level for the first time in seven sessions.
After a morning of range bound, BTC surged to a mid-afternoon high of $27,810. Failing to reach the first major resistance level (R1) at $28,225, BTC fell to a late low of $27,164. Moving away from the first major support level (S1) at $26,849, BTC revisited the $27,500 level before pulling back.
Bitcoin Stabilizes Despite Persistent Headwinds
After a busy session on Friday, there were no crypto events or external market forces to guide investors on Saturday.
The lack of events left BTC within a range of $650 on Saturday as investors digested the events of the week.
An increasingly active SEC through enforcement regulation and anti-crypto sentiment in the White House leaves US cryptocurrencies in a precarious position. However, hopes of a Ripple victory in the SEC vs. Ripple could materially change the landscape.
Easing fears of a Deutsche Bank (DB) collapse also provided support for cryptocurrency prices. There were no emergency meetings, no calls from government officials for emergency assistance, to prevent the demise of a profitable and well-capitalized bank. The silence likely provided investors with peace of mind.
However, headwinds persist, with Binance and Coinbase (COIN) coming under increasing regulatory scrutiny. There is also the ever-present threat of a European bank collapse, in the wake of the failures of Silicon Valley Bank and Signature Bank. With investors viewing Europe as a crypto-friendly continent, a regional financial crisis could affect investor appetite.
Investors should continue to monitor news wires for any news related to the banking sector, which could put Bitcoin’s recently discovered safe-haven status to the test.
Bitcoin (BTC) Price Action – Technical Indicators
A range-bound start to the day saw BTC rally to an early high of $27,493 before pulling back.
BTC needs to move through the $27,484 pivot to target the first major resistance level (R1) at $27,804, and Saturday’s high of $27,810. A return to $27,500 would indicate a prolonged bullish session. Crypto news wires need to be crypto-friendly to support a prolonged rally.
In the event of a prolonged rally, BTC would likely test the second major resistance level (R2) at $28,130, and resistance at $28,500. The third major resistance level (R3) sits at $28,776.
BTC settled above the 50-day EMA ($27,205). The 50-day EMA has broken further away from the 100-day EMA, and the 100-day EMA has broken out from the 200-day EMA, sending bullish signals.
A hold above the 50-day EMA ($27,205) would support a break of R1 ($27,804) to target R2 ($28,130) and $28,500. However, a drop through the 50-day EMA ($27,205) and S1 ($27,158) would give bears a run on S2 ($26,838). A drop through the 50-day EMA would send a bearish signal.
By Audy Castaneda