Doubt – The price of Bitcoin (BTC) is trading around a major resistance, as it approaches the monthly close. Unlike January which was largely dominated by bulls, the cryptocurrency should end the month with a candlestick that reveals the uncertainty of the markets over the period.
The price of Bitcoin above the Kijun
The price of Bitcoin is touching an intraday high and low at $23,609 and $23,210 respectively on Bitfinex, today, February 28, 2023. The cryptocurrency is trading at $23,315 at the time of writing this article. Its price is currently recording a daily loss of 0.80%.
On a daily basis, Bitcoin price continues to hold above the Kijun Sen (red line) of Ichimoku, which sits at $23,293. The cryptocurrency has approached the Tenkan Sen (black line), without being able to attack it seriously at the moment.
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The $23,400 to watch for the monthly close
On a monthly basis, the markets are almost in a doji right now, after the price of Bitcoin ended January largely in the green. February saw the attack on levels just above $25,000, which is the 200-week moving average.
The month also saw the rejection of the price of Bitcoin after the cryptocurrency repeatedly tried to break above this average, without success. The price of Bitcoin then temporarily returned below $23,000. But the cryptocurrency has mostly tried to hold its own around the former resistance of the $23,400after this rejection.
The trader Rekt Capital has also indicated that the price of Bitcoin will trade around this macro resistance around $23,400, until the monthly close. The trader believes that the cryptocurrency needs to end this month above this resistance, to get out of the macro tidy from $19,900 – $23,335.
Bitcoin price stuck in a range until the next rate hike?
In addition to Rekt Capital, the Material Indicators platform has also leaning on the key levels for this monthly close. A fence above the moving average over 50 months, around $23,610 would be bullish for Bitcoin price.
On the other hand, Material Indicators indicates that a monthly close below $23,128 – close to the February opening level – would expose the cryptocurrency to downside risks, with a possible retest of key support levels.
And a monthly close between $23,128 and the 50-month moving average would be “green” for Bitcoin price, which would then be trading in a tidy “until the next rate hike around the March 22 FOMC meeting”.
The price of Bitcoin seems to experience its first difficulties in 2023. After the rejection around the 200-week moving average, a possible return of the cryptocurrency to levels near $20,000 cannot be ruled out for the moment.
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