Bitcoin Must Close Above $21.9K To Avoid Another BTC Price Crash – Trader
Bitcoin (BTC) found strength at $22,000 through July 24, with bulls still aiming for a solid green weekly close.
Classic levels for price focus at the end of the week
Data from TBEN Markets Pro and TradingView showed that BTC/USD halted a weekend decline at $21,900 to return to the $23,000 on the day.
The pair held a trading range closely focused on key long-term trend lines, which analysts had previously described as essential for recovery.
These include the 50-day and 200-week moving averages (MAs), the latter especially important as support during bear markets, but which has acted as a resistance since May.
“Bullish that we held the 13d ema + horizontal 21.9k perfectly,” the popular Twitter trading account CryptoMellany argued for part of its latest update on the day.
“I think we will be hanging around 22.5k for today’s weekly close, new week starting with action to 21-21.6k and then going up for the rest of the week, forming a bull flag.”
The 50-day and 200-week MAs stood at $22,370 and $22,690 respectively at the time of writing, with a spot price of $22,670.
Continuation, fellow trader and analyst Jibon described next week close as “very very important”. A companion chart selected $21,944 and $22,401 as the lines in the sand for a “bad” or “good” close.
Earlier this week, Jibon had warned that such a “bad” result could signal the start of a return to new macro lows for Bitcoin – as low as $12,000 – that could lead to sustained strength in a relief rally to $40,000.
If it closed at current levels, BTC/USD would seal its highest level since mid-June.
Ethereum, Cardano Lead Altcoins As ETH Soars
On altcoins, Ether (ETH) and Cardano (ADA) were the standout weekend performers as both rejected lower levels.
Related: Ethereum Price ‘Cup And Handle’ Pattern Suggests Possible Breakout vs Bitcoin
ETH/USD returned to $1,600 on the day, while ADA/USD also tried to challenge the week’s peak of $0,548, which was its best performance since June 12.
In analyzing the current environment, traders noted the importance of Ethereum’s 2018 high of $1,530, a level that became a long-term resistance and then returned as resistance in June.
$ETH
after spending a few weeks below 2017 ATH level #ethereum trying to close above
however, has 2 days left before the weekly closure
close above and this pushes up to 2300 imo
close below and this will keep chopping and maybe even making new lows..who knows pic.twitter.com/EGsvpyTB6T— White Walker (@cryptowhitewalk) July 23, 2022
As price action got stronger, ETH outflows from major exchanges increased. As of July 22, those flows amounted to 1.87 million coins, according to data from on-chain analytics firm CryptoQuant.
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