Bitcoin (BTC) rose to a seven-day high above $24,000 this week, hitting its highest price level since mid-June.
The benchmark cryptocurrency has however found it hard to break higher, with a subsequent cooling pushing it to lows of $22,600 on Friday evening.
Market observers, including analysts at JPMorgan and Citi say the sentiment across the market is improving as the negativity heightened by recent turmoil dissipates. But what BTC levels are analysts watching?
Analysts share key Bitcoin levels to watch
Popular crypto analyst Rekt Capital says the next important move for BTC/USD this week is to achieve a weekly candle close at or above the 200-week moving average. The key price level then is around $22.8k.
“BTC is see-sawing around the 200-week MA all week,” the analyst said, adding that “the most important thing will be the confirmation relative to the 200-week MA in the form of a Weekly Candle Close. The 200-week MA represents the price point of $22800.”
Crypto trader Mayne suggests bulls need to hold above $22.5k to maintain this week’s positive outlook.
“Simple view, potential range break out. Upside could be juicy if we can hold above $22.5k/range high. Lose the range high, this was likely a deviation. The move above range high becomes your risk as you target shorts back into the range.”
Another analyst, the pseudonymous Shardi B says Nasdaq’s 1.87% dip on Friday may cascade into the crypto market, a likely scenario given the high correlation between risk assets (crypto and equities).
Nasdaq fell off a cliff…causing short term damage here…
Watching the $22.768 line…. pic.twitter.com/ywlgZsrlKL
— Don’t Follow Shardi B If You Hate Money $ (@ShardiB2) July 22, 2022
Crypto trader CryptoGodJon says flipping higher and holding above $24.5k could see a breakout to the $27k-$28k range. However, a dip from current levels could easily open up a path to $20k and even lower.
I think a big move for #BTC is going to happen soon
Break above and hold $24,200 I think we squeeze to $27-$28k fairly quickly
If we start accepting back into the range I am looking for a flush down to $20k
Pretty easy invalidation on both, stay safe. pic.twitter.com/YVw7PGKK44
— CryptoGodJohn (@CryptoGodJohn) July 22, 2022