Bitcoin traders plead for calm as BTC price falls 10% in a week
Bitcoin (BTC) barely held $27,000 on April 22 as another round of losses left bulls with little firepower.
Giant RSI support retest greets Bitcoin bulls
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD just holding the $27,000 mark the day after the Wall Street trading week ended on a sour note.
Unlike US stocks, which managed to seal modest gains on the day, Bitcoin continued to suffer as analysts warned of a return closer to $25,000.
With that, BTC/USD was down 10% for the week and 4% for April overall, according to data from monitoring resource Coinglass, amid a dramatic reversal in fortunes against much of Q1.
For the popular trader Credible Crypto, there was nevertheless every reason to hope that the long-term uptrend remained intact.
“If your macro thesis on Bitcoin has changed because of a $2,000 pullback after a $10,000+ vertical rally from 19k to 30k+, you’re doing it wrong,” he insisted in part of his latest Twitter comment.
An additional post claimed that such price action was “common” in crypto markets.
“The last major retest we had was at 19k before our rally to 30k+. A 25k retest here would be logical and healthy,” it said.
Financial information resource Stockmoney Lizards agreed, telling Twitter followers that the road higher could be slow and steady.
“After these huge green candles, we usually find a bit of a cooldown,” it wrote about the 3-month BTC/USD chart.
“Short/intermediate term still bullish (3 months), but don’t expect it to go too fast.”
Cryptoanalyst CryptoCon provided similar conclusions based on recent movements in Bitcoin’s Relative Strength Index (RSI).
Used to determine overbought and oversold conditions at given price points, the RSI can help provide insight into upcoming price trends.
“Short-term Bitcoin price action appears gloomy, but behind the scenes, the Weekly RSI has broken out of a 6-year downtrend and is now trying to provide support,” it revealedcompares the last action with previous half-cycles.
“Bitcoin is now at the decision point. Continue 2019 parabolic price action, or take the healthier, steady 2015 approach?”
BTC price analyst expects “stronger buying interest” near $25,000
Trader Skew, meanwhile, delved into potential short-term price targets for BTC/USD, focusing on the moving average (MA).
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The zone north of $25,000 remained the main point of interest, with the 200-week MA residing at $25,850.
Market composition remained apt to liquidate traders, with Coinglass data showing that on April 22, cryptolongs cost another $173 million.
As Cointelegraph reported, April 19 had seen the largest number of long liquidations in 2023 so far.
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This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
