The Bitcoin price is critically approaching the 200-week moving average as Ethereum approaches $ 1.5,000

by · July 19, 2022

Bitcoin (BTC) hovered at $22,000 at the opening on Wall Street on July 18, as analysts warned that bulls would not break resistance immediately.

BTC / USD 1-hour light chart (bit stamp). Source: TradingView

Can Bitcoin Win Back Bear Market Support?

Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD returned to consolidate after hitting the highs of $22,500 on Bitstamp.

This level represented the start of sell-side positions on exchanges around the 200-week moving average (WMA), a key area that commentators argued would be difficult to break.

“Do not expect continuation on Bitcoin, at this point, as we face 200-week MA and range resistance,” Cointelegraph contributor Michaël van de Poppe told Twitter followers in its latest update.

Fellow trader and analyst Rekt Capital, like others, was also skeptical of the potential for Bitcoin to continue upward momentum immediately.

Van de Poppe nevertheless added that a breather would be profitable at today’s level. He concluded:

“A small consolidation would trigger continuation and break above $22,600 would activate massive longs towards $28,000. Good times.”

Both Bitcoin and altcoins made the most of the relief in equity markets that day, while Asia and the US made modest gains as the US dollar retreated.

The S&P 500 and Nasdaq Composite Index were up 0.7% and 1% respectively at the time of writing, one hour after opening.

“Prime time for Bitcoin,” chain analytics resource Whalemap meanwhile predicted, offering a more optimistic view based on strong buyer interest below the spot price.

Data from other monitoring resources Material indicators showed similar support based on the Binance order book.

BTC / USD order book data (Binance). Source: Material indicators

Ethereum preserves performance

On altcoins, the show was still stolen by Ether (ETH), which held close to $1,500 after sealing its highest levels in over a month, with huge gains against BTC included.

Related: BTC miners ‘finally capitulate’ – 5 things to know in Bitcoin this week

ETH / USD 1-day chart (Binance). Source: TradingView

ETH/USD even beat Bitcoin’s advance, and was the darling of day traders, undoing the previously dreadful price action that was in place from May onwards at the start of the Terra (LUNA) – now called Terra Classic (LUNC) – debacle.

Upcoming resistance lies in the form of Ethereum’s all-time high from the previous Bitcoin halving cycle of $1,530, which it reached in early 2018.

The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trade involves risk, you should do your own research when making a decision.