Bitcoin closed the week up 15.4% at $ 6,775, started the day with 6% and continued to move higher through the $ 7,000 mark to reach the highest price of $ 7,300
Seeing this performance compared to Bitcoin counterparts, such as Ether (ETH) and EOS, they posted a 16% increase over the past 24 hours. As a result, the dominance of Bitcoin fell 1.5% to 65%.
Total cryptocurrency market capitalization broke through the level of $ 200 Billion, breaking through diagonal resistance since February when the total market value briefly touched $ 300 Billion.
The cryptocurrency market as a whole rose 86% from its lows, slightly above $ 100 Billion but still down 30% from the highest value in 2020. This highlights the volatility in the market over the past few weeks.
Bitcoin Weekly Charts
Bitcoin closed last week with a large bullish candle, it happened after buying interest appeared at the 200th Weekly Moving Average. The 100th Weekly Moving Average stopped moving at $ 7,000 but the relatively strong Schoastic oscillator index passed through the bullish and showed momentum that still supported the existence of bull.
Although the volume of trade continues to decline, but the amount is still higher than the usual average. In that context, it can be seen that buying interest last week is similar to that seen in October 2019 when Bitcoin soared from $ 7,200 to $ 10,400. This shows that there is still strong buying interest in the market.
Usage above the 100th Weekly Moving Average is a group of resistance, along with that, the 20th Weekly Moving Average is usually what determines whether Bitcoin is in a bullish or bearish market. In addition, 100 and 200 week moving averages are in this area. Both have played important roles as resistance in the past.
Among the moving averages there is an annual pivot point at $ 8,100, so if the bulls are new they can continue moving through the 100-week moving average, and there is little resistance above $ 7,000.
Daily Bitcoin Charts
As shown on the daily chart, Bitcoin broke through the highest level of the previous trade. Also, the 100th Weekly Moving Average reaches the control point at $ 6,600. The MACD indicator shows the continuation of the trend which is clearly visible towards the upside and almost past the zero line which means that the 12th and 26th Exponential Moving Average (EMA) is at a price that will break the bullish on the daily chart.
If Bitcoin can close the day at $ 7,200, it clearly indicates that there will be bulls that are in full control after a higher-priced decision maker is influenced by the success of reaching the lowest position which is also higher. This suggests a clear journey until the resistance is around $ 8,000.
4-Hour Bitcoin chart
The 4-hour chart shows the price of Bitcoin currently crossing the 100th Weekly Moving Average which has provided resistance at the top of the trading range. Volume Profile Visible Range (VPVR) also shows that there is very little volume traded in the $ 7,850 zone where the 20th Weekly Moving Everage is located.
The MACD indicator has passed the bullish mark and scored a higher high on its histogram indicating the price momentum remained before the bullish occurrence.
In addition, the Chaikin Money Flow (CMF) indicator which observes the volume of Money Flow over the past 20 periods shows that there is a bullish difference in volume indicating relative buying pressure.
Looking ahead
It is clear that the price action is currently at a slight interest in buying and selling is still in control. Profitable traders are in short-term selling positions or in positions of lowering the trading range and it seems they see little supply at the top prices.
CME Commitment of Traders reported on April 3 that institutional sized traders reduced their net short positions in the market.
While global economic markets continue to face unprecedented uncertainty related to monetary policy, Bitcoin can prove itself as a vehicle to protect against the risks of inflation and counterparties that are present for a long time.
$ 8,000 is a key level that needs to be considered to be repositioned when making a bull so the market can return to the bull market position.
Although soon, the market will face halving and the lack of sales at current prices, Bitcoin continues to show its role as the main resistance. Despite this rapid recovery from the position of $ 4,000, market conditions will still be shaken to re-enter the bull.
