Bitcoin (BTC) already dipped below $44,000 yesterday morning, but then recovered and appeared to hold up here. A few hours later, the bitcoin price grip and then fell to $43,500. Bitcoin initially made a big bounce.
Bitcoin price moves mostly sideways
Bitcoin ticked yesterday afternoon after the bounce on a number cryptocurrency-exchanges even $45,000, but the price was immediately rejected there. Bitcoin then fell again quickly, briefly appearing to find support around USD 44,350, before falling further to USD 43,700. Bitcoin was then able to rise slightly again, but this time the resistance around USD 44,150 was already too strong.
Overnight bitoin fell to $43,500 and dipped briefly to $43,100 this morning. Bitcoin then rebounded slightly and stands at $43,300 at the time of writing Binance and €39,000 on Battle† Bitcoin is down 1.5% compared to 24 hours ago
No pullback ‘yet’
We warned more often of late that there would be a lot of resistance between the $44,000 and $45,000. There was already fear of a possible pullback† Some investors hope for that, because they see it as an opportunity. So far it seems to be going very well and the price is holding up strong. However, it is still possible.
$ BTC: Watching 40k to see if we get a pullback. If this is like September then we’ll see vertical accumulation and #Bitcoin is not going to dip (unless on low time frames) much at all for a bit. I’m guessing I wont get this in the short term. pic.twitter.com/hHCiF2CC7H
— Altcoin Sherpa (@AltcoinSherpa) March 2, 2022
New accumulation phase for bitcoin
Analysts, meanwhile, are talking about a possible new accumulation phase. Smaller investors in particular are buying, data shows. That’s a very bullish sign, as it indicates that demand is rising again, this time in a healthier way than the overleveraged markets from a few weeks ago.
$ BTC accumulation phase begins.
Newbies who joined last year are evolving to long-term holders. The market cap for 6-month+ old BTC takes 52% now. It was 13% at the cyclic top.
Unlikely to hit the previous low($28k) as the newbies will wait for other newbies in the next cycle. pic.twitter.com/LH3aRVqcB1
– Ki Young Ju 주기영 (@ki_young_ju) March 2, 2022
The small fish are stacking sats like there is no tomorrow. #Bitcoin📈🐟👇 pic.twitter.com/VbUMBCC8Ve
— ecoinometrics (@ecoinometrics) March 3, 2022
However, there is still a large degree of reticence in the market. There are still many concerns about the further escalation in Ukraine as well as about the upcoming interest rate hike by the Federal Reserve. Concerns about the latter appear to be easing. Because of the war, the Fed already seems to indicate that it will not raise rates as sharply as it originally planned. There is speculation that the fear around this may already be priced in. The publication of the consumer price index is on March 10, then the Federal Open Market Committee (FOMC) meeting on 16 March.
Ok I’ve seen it all now.
Bookmark and retweet this one.$ BTC pic.twitter.com/u9eWxsGlC1
— Miles J Creative (@JohalMiles) March 2, 2022
The market is further speculating that if the USD 45,000 is breached, bitcoin could suddenly rise rapidly. If indeed the FOMO return, then this is certainly possible. However, it may be underestimated that above USD 45,000 there are still plenty of levels where there is likely to be a lot of resistance. The 200 Days exponential moving average is currently around $45,700 and the 50 weeks simple moving average around $47,000.
Important levels to watch when BTC eventually makes its mind up.. pic.twitter.com/n7GxISO0av
— Rickus (@rickus_trades) March 3, 2022
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