Bitcoin (BTC) Tick Higher as Traders Remain Risk-Averse
Data from Cointelegraph Markets Pro and TradingView showed that Bitcoin (BTC) reached local highs of $83,914 on Bitstamp, with BTC/USD up 1.5% on the day. Despite US stocks opening lower, Bitcoin saw some relief ahead of the quarterly candle close. Market momentum was influenced by upcoming US trade tariffs set to go live on April 2, and gold also experienced a decline after reaching all-time highs of $3,128 per ounce.
Market Participants Exercising Caution
Commenting on BTC price action, many market participants favored caution. Popular trader Roman, in his latest analysis of the 4-hour BTC/USD chart, pointed out the retesting of the 84k area of interest. Roman referred to the relative strength index (RSI) and predicted a return to levels closer to the $80,000 mark. He also mentioned that the RSI was retesting the 50 area with stoch overbought, and the higher time frame (HTF) still leaned bearish.
Another popular trader and analyst, Rekt Capital, further discussed RSI signals and revealed a support retest on daily timeframes after a key breakout from a multimonth downtrend. He summarized that if the RSI successfully retests its downtrend, it would display emerging strength and BTC’s price would be able to break its own downtrend.
Lackluster BTC Price Picture and Comparisons to Late 2024
Earlier, it was reported that various BTC price metrics combined to produce a lackluster picture of the current phase of the bull market, indicating that the correction would continue. BTC price targets now extend to $65,000, with prediction platforms expecting even lower prices. Both the performance in March and the first quarter left much to be desired.
According to data from monitoring resource CoinGlass, BTC/USD traded down 10.8% year-to-date at the time of writing and 1.1% lower for March.
Acknowledging Bitcoin’s worst first quarter in years, the latest analytics report “Bitfinex Alpha” from crypto exchange Bitfinex stated that any buying momentum is currently being capped at the $89,000 level, which coincides with the previous range lows seen in December 2024 and acts as a firm resistance level to further gains. The report also highlighted the growing correlation between Bitcoin and US stocks, with the S&P 500 closing the week 1.5% lower.
The report concluded by noting that signs of capitulation are easing, with fewer reactive sellers present and long-term holders beginning to accumulate once more. It is important to mention that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any investment or trading decisions.