Bitcoin (BTC), despite its $40,000 crisscrossing on April 15, fooled no one as traders remained cautiously risk-averse on BTC.
BTC/USD 1-hour candle charts (Bitstamp). Source: TradingView
Bitcoin returns to the 2022 Fib level
Data from TradingView and Cointelegraph Markets Pro showed that BTC/USD bounced modestly upon returning to the $39,000.500 zone on April 14.
This move erased an impulse movement higher than earlier in the week, underscoring a lack of bullish momentum despite the high demand for Bitcoin by institutional buyers.
Crypto Ed, a popular trader, believes that there will be more downside soon. In his latest YouTube update, he stated that current levels were not suitable for long positions.
He summarized, “With the upcoming weekend I would be very cautious longing here.”
BTC/USD was at $40,400 at that point, before it reversed to trade at $40,150 as of April 15.
Miles Johal, a market commentator, noted that the pair was now interfacing with the 0.75 Fibonacci Level. This had been a support feature all through 2022.
Back to dancing with the 0.75 $BTC pic.twitter.com/dDDVjZSJYa
— Miles J Creative (@JohalMiles) April 15, 2022
The United States financial markets were closed for Good Friday, sparing crypto traders from correlated price movements.
Do you remember the supercycle?
There was excitement elsewhere about the idea of Bitcoin in a “supercycle.”
Related: Bitcoin bulls must reclaim $41K before Friday’s expiry of the $615M BTC options
The concept was popularized previously and focuses on BTC price action beyond its approximately four-year halving cycles.
Some believe this explains why Q4 2021, the year following Bitcoin’s most recent block subsidy halving, failed to produce the “blow off top” that was common in previous post-halving years.
BTC/USD may be instead in a consolidation phase, with most of its upside still to come.
“Interesting. Perhaps we didn’t get the blow-off top…because that hasn’t happened yet,” Josh Olszewicz (head of research at Valkyrie, alternative asset management firm Valkyrie) said.
The supercycle comparison chart was first posted to Twitter earlier this week.
Chart of the Bitcoin supercycle. Source: Nihkalowz/ Twittercom. You should do your research before making any investment or trading decision.