The cryptocurrency market is yet to find refuge following a general trend correction from late last week. Bitcoin price had pumped significantly to a new 2023 high slightly above $25,000 but investor expectations for a prolonged upswing to $28,000 were thrown out the window. The largest cryptocurrency now trades at $23,856 against a backdrop of a 1.6% dip on the day.
That said, investors are looking forward to a positive weekend with Bitcoin price expected to recoup the losses incurred this week and pump to close the gap to $28,000. As we will examine later, Bitcoin price sits on top of robust fundamental support areas, positioned to absorb the selling pressure.
Where Is Bitcoin Price Headed This Weekend?
Bitcoin price uptrend hailing from January was intact until regulators from the United States increased their oversight of the industry. On the other hand, Hong Kong announced it intends to regulate the crypto market with a set of new guidelines. Crypto trading platforms in the jurisdiction have been requested to prepare to comply or start closing up shop.
Market participants, on the other hand, are looking forward to a busy weekend, where BTC price might restart the uptrend above $25,000. According to the latest MarketWatch report, who caught up with Martin Leinweber, digital assets product strategist at MarketVector Indexes, crypto prices could perform better than equities in 2023 amidst a shaky macroeconomic environment.
“From looking at what is happening now in the crypto space — like all the transactions, price behavior, the sector’s stickiness, and even the relative strength against equities, I think they show a bullish sign,” Leinweber said.
Recovery is expected across the cryptocurrency market with derivatives expected to make a stronger comeback. Bitcoin options have recently displayed bullish signals with activity pointing to the upside, as opposed to downside volatility.
Bitcoin Price Searches For Support – Investors Are Eager For Fresh Momentum
The pioneer cryptocurrency is in the middle of a trend correction with $23,500 expected to come in handy. A rising trendline, as observed on the daily chart, is in line to reinforce buyer congestion at this level and ensure overhead pressure does not become prevalent.
The position of the Stochastic oscillator reveals that sellers have the upper hand at the moment. This also means Bitcoin price might have to give up some more gains before bulls can take over.
On the bright side, a recently confirmed golden cross is keeping investor interest in BTC intact. This pattern comes into play when the 50-day Exponential Moving Average (EMA) (line in red) flips above the 200-day EMA (line in blue).
Data has shown that in the past BTC price has increased in value by an average of 22% following the appearance of a golden cross. Therefore, traders with strong hands will likely hold their positions in place for the expected swing above $25,000 and toward $28,000.
Going forward, investors should keep their eyes on two key levels: The pivotal support provided at around $23,500 by the ascending trendline and the seller congestion at $25,000. A break below the trendline could trigger declines to $22,000, as highlighted by the 50-day EMA (line in red) and the 200-day EMA (line in purple). On the upside, FOMO could trigger another fresh momentum to $28,000 if bulls reclaim the position above $25,000.
The IOMAP model by IntoTheBlock divulges that more investors are backing a Bitcoin price turnaround as opposed to those willing to sell. From the chart below, all the green circles represent investors who purchased BTC in the past.
The first support, running from $23,122 to $23,796 hosts 778.9k addresses that bought roughly 458.84k BTC. Investors in this cohort are already in profit and would be willing to back a bullish breakout.
On the other side of the fence, bulls will need to build enough impetus to attack the seller congestion in the range between $23,864 and $24,538. A break and hold above the first red circle could trigger the next rally to $28,000.
Bitcoin Alternatives To Buy Today
Before you start accumulating bitcoin, do you know about these new coins whose presales are selling out quickly in 2023? Investors are diversifying their portfolios with the best crypto presales, promising a better risk-reward ratio.
Fight Out (FGHT), for instance, is a leading move-to-earn project currently conducting a presale ahead of its initial exchange listing expected in early March. Investors scooping up this Web3 fitness platform have so far raised $4.63 million, although the price is increasing in 12-hour intervals.
Immediately after the presale closes, on March 31 as mentioned above, FGHT tokens will be listed on exchanges from April 5 – with the project already having confirmed listings on BKEX, XT.com, Uniswap, LBank, BitForex, DigiFinex, and Changelly Pro.
Similarly, investors may want to buy C+Charge (CCHG) which is the world’s first on and off-chain platform to democratize the carbon credit industry. C+Charge is also bringing up a mobile application meant to revolutionize the EV charging industry.
From this app, users will be able to locate charging stations, pay for charging at stations in CCHG, and access key information like charger wait times. The presale, which has been running for a few weeks, has raised $1.56 million.
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