Analyst suggests that there’s a fight between bulls and bears on the market
According to the cryptocurrency analyst, Bitcoin is facing a strong 21-week resistance line on the weekly trading chart. As Cowen suggests, the mentioned resistance is championed by the bears as one of the last barriers between the first cryptocurrency and the new bullrun.
Bitcoin has reached the aforementioned resistance after the price spiked to $44,000. The most recent test before that took place on Feb. 7, which was the local top for Bitcoin at that time. After failing to break through the resistance, BTC fell to $34,449.
The new test will most likely be a turning point for the cryptocurrency market as the next major resistance is a 200-day moving average on the daily chart that remains at around $46,000. Although the next resistance remains relatively close to the current price, due to Bitcoin’s tendency to move in a volatile manner, it will most likely be broken once buying power appears in the market.
Unfortunately, there is no way to predict whether or not the first cryptocurrency will break through the 21-week moving average, but such indicators as realized volume suggest the presence of buying power on the market that might help bulls to move the price through.
Previously, Cowen posted a video suggesting that the bulls are currently “fighting” for a new Bitcoin super trend that could bring it back to ATH values. The main problem for her, however, is a global trend of risk exclusion in financial and crypto markets.
Bitcoin is still moving in a considerably sharp downtrend and losing approximately 35% since the ATH reached back in November. At press time, the first cryptocurrency is trading at $43,720 and yet failing to reach $45,000.
