Bitcoin Sentiment Shifting?
The rally off the January lows in Bitcoin has seen the market advancing from around the 3280s to a recent test of the 45405 level. While the level is currently holding as resistance, the rally has certainly raised the prospect of a fresh bullish phase in Bitcoin. With this in mind, the current price action is particularly interesting as the market is potentially carving out an inverse head and shoulders pattern, suggesting room for a further breakout higher. If the current 41510 support area holds, bulls can look for a break above the 45405 level targeting a run up to the 52260 level initially.
Keep An Eye On
With BTC tending to trade more like a traditional risk asset these days, keeping an eye on risk sentiment is key. The biggest factor to watch this week is the Russia/Ukraine situation. With reports that Russia and Ukraine are due to meet this week, there are hopes that conflict can be avoided. If this is the case, risk assets, including BTC, will be firmly higher. However, if tensions persist or if Russia does invade, this will be heavily negative for BTC and the broader risk complex.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.