Bitcoin price has been trading above $6k for the 4th day straight and has even hit as high as $6.9k on Tuesday, March 24, 2020. However, the cumulative price trend of BTC shows a similar kind of bear market entry that happened in 2018, leading to unprecedented weekly highs and lows. On the other side, the intraday happens to be quite a gainer for this week, until the time of writing after hitting around the yearly low at $3,800.
Bitcoin Price Analysis
Undoubtedly and impressively, Bitcoin has been trading around $6.5k persistently, yet the broad picture is drawing a different situation. The 2018 bear market was quite a loss-making situation for the crypto investors, which we categorically named as “Crypto Winter,” do we take this as an entry to a bear market repeating the history of 2018? On the other hand, growing fears from the outbreak of the pandemic—Coronavirus has been taking over the market as the major investment avenues have hit the lower circuit.
Nonetheless, important to note that the coin has been a performer when all the other avenues, including the safest haven—Gold has been a prey to this deadly virus. Bitcoin has drawn two extremities in less than 30 days from hitting bottom and losing over 50% and gaining a steep momentum thereafter. However, $7k remains the major resistance as per the current price trend of BTC.
Aligning the daily movement of Bitcoin against USD, we see that there happens to be a death crossover as the 50-day MA crosses above 200-day MA. And on the contrary, when BTC price held a “golden crossover” viz., 200-day MA crossing above 50-day MA, we saw the major sell-off towards the end of the previous month.
The technical indicators laid show a bullish sentiment due to a persistent trade above $6k, and therefore, the MACD line crosses above the signal line, and RSI is seen drawing above the sell-off zone at 45.73.