Bulls of Bitcoin (BTC), did not see any relief at Wall Street’s March 4th opening, as $40,000 support was looming.
BTC/USD 1-hour candle charts (Bitstamp). Source: TradingView
Trader: Markets are “shaky,” but BTC may bounce
Data from TradingView and Cointelegraph Markets Pro revealed that the March lows were $40,551 for Bitstamp BTC/USD at Bitstamp. This brought two-day losses down to 10.2%.
Fears about the safety of Ukraine’s nuclear infrastructure drove crypto and traditional markets lower, with the S&P 500 following European indices to fall by 1.4%.
In his latest tweet update, Michael van de Poppe, a Cointelegraph contributor, explained that Bitcoin is correcting as tensions surrounding Ukraine are growing and fear is increasing as Gold is rushing ups.
“Might see a bounce. If we do, I am looking at $43.1-43.55K as a potential resistance level. Markets are generally unstable, altcoins also dropping.
Pentoshi, who is extremely cautious, warned that the macro outlook was bleak due to commodity inflation, the reduced ability of central bank to control it, and the damage already done by the coronavirus responses over the past two year.
He tweeted, “You can already notice other markets starting to show huge cracks in the foundation. Hong Kong has erased 100% post covid gains and it seems European markets are next.”
“I don’t know how anyone can be positive about the future while looking back at the past.”
This week was no different for oil. WTI reached its highest level in a decade, Brent hit $112 per barrel and WTI hit its highest in a decade. Russian oil, however, struggled to find buyers despite its steep discount.
Price consolidation was “expected”.
However, not all were bearish when it came to Bitcoin.
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Popular account BTCfuel saw a potential rebound in recent chart movements.
He commented that “Bitcoin seems like it’s setting-up a reversal mechanism,” and he also included a chart showing two possible trajectories of BTC price action.
There are two possible scenarios for #Bitcoin after it ran into the 100D MA red. Staying between the MA’s and following the blue scenario or falling below the MA’s and following the orange scenario pic.twitter.com/f4XvqZWVA4
— BTCfuel (@BTCfuel) March 4, 2022
Other Twitter users, such as Kaleo, weren’t too bothered.
“Consolidating in 40.5K-42K range above support as anticipated. He wrote Friday that he expected a bounce from the range.