BTC/USD remains under pressure in early trading this morning as the world’s largest cryptocurrency remains weighed down by nervous conditions.
As of this writing, BTC/USD is trading near the 38,400.00 mark with headwinds seemingly exhibiting a rather strong amount of nervousness. While speculators who are bullish and have a longer time horizon capability, compared to a day trader may believe Bitcoin is vastly undersold, the short term continues to test the willpower of traders looking for upside. The past month has shown that a sustained higher move has been difficult to produce.
On the 2nd of March BTC/USD briefly traded above the 45,100.00 ratio, but it was pushed back and in the past two weeks Bitcoin like its major counterparts has found trading conditions rather gloomy. Nervous sentiment is pervading global financial assets as investors remain skittish due to rather troubling economic outlooks, which have not been helped by the Russian war against Ukraine.
However, with those dynamic economic questions in mind, why hasn’t BTC/USD risen steadily when there is so much fear in the old fashioned financial assets of the trading world? Wasn’t Bitcoin supposed to be the modern answer to concerns and doubts that central banks brought upon their institutions? BTC/USD has in fact remained within a rather troublesome bearish trend since the 10th of November when it was trading near the 69,000.00 juncture. Needless to say, the war in Eastern Europe was not being fought at that time, meaning BTC/USD has shown no inclination to act as a safe haven in the eyes of some risk analysts.
In fact BTC/USD continues to hover near important support levels and was trading near 37,150.00 on the 7th of March. And while this value may feel ‘far away’ for some speculators, BTC/USD has a habit of moving in increments of one thousand USD with a mere cough-like reaction. If BTC/USD begins to make current support levels appear vulnerable a retest of lows may be anticipated by bearish speculators.
BTC/USD has had a difficult time traversing the 40,000.00 ratio and maintaining a steady amount of value above. Certainly, BTC/USD is likely to reverse higher and challenge greater prices in time, but the question is when? Bitcoin may continue in the near term to feel the pressure from shadows being cast by nervous global sentiment and government pronouncements regarding oversight of cryptos. Last but not least is the notion jittery digital asset traders may be feeling the ‘pressure’ of watching BTC/USD hover near lows too consistently for their tastes.
Current Resistance: 38641.00
Current Support: 38174.00
High Target: 40975.00
Low Target: 37170.00