Crypto Update: Bitcoin minor correction or something more?

Stocks Seem To Feel Better, (BTC/USD) Bitcoin Price Being Healed | A small recovery | Oanda

Looking at Bitcoin, we are seeing a few things to keep an eye on. So far, crypto markets look to be following equities lower after yesterday’s Fed shock around inflation worries and policy adjustment to try and correct it (rate rises).

Today has seen a second straight day off losses for Bitcoin as sellers continue to hold sway. Fed members shocked risk markets yesterday after reports showed US inflation had climbed to 40-year highs. Their comments came in aggressive and suggested they’re ready to take action to try and rein in the current inflation problem. That normally means rate rises, and comments suggested a more aggressive approach could be coming soon.

Bitcoin has been patchy at best over the last 5-trading days, with more of a range forming after the late March first leg lower. That leg broke the fast trend, and we saw an LH form after that break. These one-two patterns can be a good sign of further weakness coming. Selling continued (yesterday and today), confirming the pattern.

That brings us to the level/area we are watching, and we have marked it with a green box on the D1 chart. This level is a demand area, and we can see this when buyers held firm on a few occasions. This area is important to us moving forward. If buyers can hold, we are looking at a possible minor correction in play which could turn into a new continuation higher. A move through the area and we could have a deeper move lower on our hands, and we will have to look and wait for when or if price can set a new higher low above or around the new trend line.

Bitcoin D1 Chart

The post Crypto Update: Bitcoin minor correction or something more? appeared first on Eightcap.

Stocks Seem To Feel Better, (BTC/USD) Bitcoin Price Being Healed | A small recovery | Oanda

8 eightcap

Joseph Jeffriess, Market Analyst in Eightcap
Eightcap is one of the leading CFD brokers in the market, providing online trading services to a wide range of clients from around the world. They offer 1,000+ CFDs based on Forex, commodities, indices, shares, and cryptocurrencies. The well-established trading company was founded in Melbourne, Australia, in 2009, and is regulated by the Australian Securities and Investments Commission (ASIC), the Financial Conduct Authority (FCA), the Cyprus Securities and Exchange Commission (CySEC) and the Securities Commission of The Bahamas (SCB).