The week promises to be quite calm on the economic calendar. Thus, we assume much less volatility in the cryptocurrency market. Here are some interesting levels to watch in Bitcoin (BTC).
Supports Browsing Bitcoin (BTC)
It looks like the bullish momentum of BTC has been waning since the beginning of the year. Indeed, the leader of cryptocurrencies by capitalization closed last week in the red. After slowing down the ECB interest rate hike on Thursday, the dollar recovered 2.2%. This sent bitcoin (BTC) down over the weekend, closing at $23,000. If this downward pressure continues, we can expect further declines this week. However, multiple support levels may support the price rather than start a new bear market.
The first nearest relevant support is around $21,000. This is the psychological zone (round number). In addition, this level also corresponds to the midpoint of the January 14-20 range. We also see a bullish engulfing at this level. Thus, we can consider a rebound of Bitcoin (BTC) in this area. Just below that level is another support: the $20,000 psychological level. It may also happen that the price drops to this level before continuing in the green zone.
Bitcoin (BTC): Levels to Watch This Week — BTC/USD — TradingViewObstacles that may lead to correction
There are a few hurdles to watch for this week as well. Indeed, with the advent of the RSI divergence, one could bet on a corrective scenario. Also, we recently saw a golden cross approaching on the daily scale. Thus, there is a strong possibility that Bitcoin (BTC) will make a corrective move this week. Here are the hurdles a BTC correction could cause.
Immediate resistance lies between the $23,290 and $23,800 area. These are the corresponding levels if we measure the range between the January 22 low and the February 2 high. Therefore, we could bet on the return of Bitcoin (BTC) to this zone before it drops to $21,000.
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