It’s about a sea of bitcoin resistance around $25,000 as the week draws to a close, but some are for the good times to continue.
it climbed back above $24,000 at the Wall Street open on February 17 as analysis favored “consolidation and continuation” higher.
Bitcoin is facing a key level to “break out” of the reversal trend.
Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD recovered overnight after falling to $23,369 on Bitstamp.
Both hit fresh six-month highs the day before, facing stiff resistance in the form of two weekly moving averages (MAs) and a strong selling wall.
Scott Melker, a trader and podcast host known as “The Wolf Of All Streets,” emphasized the importance of levels that act as lines in the sand for bulls.
“$25,212. I’ve been ranting about this number for weeks. Break above (ideally close) makes first high from $69,000,” he tweeted on the Feb. 16 weekly chart.
“This breaks the bearish trend. He just tapped it on a dime… and fell short. It’s time to pay attention!”
Investigating activity on exchanges, monitoring the capacity of known content indicators, increasing support for a higher offer, adding spot price.
“BTC’s legendary buy wall we’ve been watching for 5 weeks has moved strategically again, this time just above the 21-day moving average,” he noted alongside the chart.
“This entity appears to be playing a technical level on the level.”
Accompanying data from the Binance BTC/USD order book showed resistance at $25,600 – well above the location of the 200-week MA that moved from support to resistance last August.
Trader: Crucial support at $22,800
Cointelegraph contributor Michaël van de Poppe was bullish on the outlook, meanwhile calling for “consolidation and continuation”.
Related: Bitcoin Metric Pushes ‘Mother of All BTC Bull Signals’ for Fourth Time Ever
“Bitcoin is seeing a high and is going down a bit there, but that doesn’t mean we’re going to $12,000,” he reasoned on Twitter that day.
The chart showed $22,800 as a key area for the bulls to hold if BTC/USD decides to print a higher low (HL).
The day before, van de Poppe claimed that the period from March to June should be a “party” for the entire crypto markets.
“It’s hard to define the right strategy when everyone around you is shouting the opposite. That’s what’s happening at those rallying points,” he continued on the current state of crypto sentiment.
“People are stuck in the mindset of the last 18 months and can only hope for the next downside. So they keep cutting back.”
Debt traders felt most of the pain on February 16, as Bitcoin’s rally led to the liquidation of $45 million worth of positions, data from Coinglass showed. Cross-crypto liquidations reached nearly $125 million.