Bitcoin price analysis for today shows Bitcoin is down as the largest global exchange Binance gets sued by United States regulators for violating derivatives trading rules. The Commodity Futures Trading Commission (CFTC) has been investigating the exchange, citing disregard for federal laws while fostering Binance’s US customer base. A cryptic tweet from Binance CEO Changpeng Zhao, also known as CZ, which appeared to echo posts from Sam Bankman-Fried, former CEO of defunct exchange FTX, added to the confusion.
A key support level that could see a test is the 200-week moving average (WMA), currently at around $25,500. On-chain monitoring resource Material Indicators suggests that a successful retest there would fully confirm the breakout beyond the 200-week MA. However, Material Indicators co-founder Keith Alan notes the loss of several important support lines and suggests that Bitcoin is on pace for a volatile end to the monthly candle.
Bitcoin price analysis on a daily chart: BTC declines to lows of $26,300
On the daily chart, Bitcoin price analysis shows BTC/USD is trading above $26,300 support and still in a downtrend. The cryptocurrency could fall to the 200-week MA if the support at $25,500 does not hold up. The Relative Strength Index (RSI) remains below 50, an indication of bearish momentum in the market.
Bitcoin enters the last week of March in the uncertain territory as a strong weekly close still keeps $30,000 out of reach. While the cryptocurrency managed to close the week with a modest flourish, returning to the $28,000 mark, it fell steadily to lows of $26,956.64. BTC/USD stayed practically unmoved versus the weekend prior, delivering some impressive stability despite the periods of volatility that occurred in the intervening period.
However, concerns are brewing that the market may struggle to preserve current levels. The largest cryptocurrency has sealed seven days of practically flat performance despite some volatility in between as the market seeks fresh direction.
Next up is a period of relative calm, followed by a key monthly close, which analysis says could see the start of a new bullish trend. Bitcoin is currently up 20% for March, meaning that the coming days will decide the strength of the ongoing recovery from multi-year lows.
Pressure on crypto markets is not being helped by United States equities – the S&P 500 was flat on the day, while the Nasdaq Composite Index was down nearly 0.7%. Amid mixed signals, BTC price dropped to $26,541, its lowest since March 17, before recovering.
For market participants, a key support level that could now see a test is the 200-week moving average (WMA), currently at around $25,500. “Once again, $28,600 resistance looking very similar to the first group of attempts at $25,212 resistance,” writes BTC/USD analyst Melker.
Bitcoin price analysis on a 4-hour chart: BTC stumbles near $27,000
Bitcoin price analysis on a 4-hour chart shows BTC is trading at $27,159.37, down 2.62% in the last 24-hour period. Bitcoin has recently hit a high of $27,951 and is currently trading below the 20-day Exponential Moving Average (EMA).
The RSI indicator is currently at 51.2, indicating the presence of bearish momentum in the market. The MACD histogram suggests that Bitcoin could continue its decline if it fails to break out above the $28,000 resistance level. If it does manage to break out, it could rally towards key resistance levels at $29,500 and $30,000.
Bitcoin price analysis conclusion
Bitcoin price analysis on the daily chart shows that BTC is in a downtrend and could test the 200-week MA support level of $25,500. On the 4-hour chart, BTC is trading below the 20-day EMA and could continue its decline if it fails to break out above the $28,000 resistance level. A strong weekly close could signal a possible bullish trend, but volatility around the monthly close could remain.
While waiting for Bitcoin to move further, see our Price Predictions on XDC, Cardano, and Curve
