BTC price now has support above $40K as data shows Bitcoin ‘redistribution event’

Bitcoin (BTC), is “looking pretty good” this week, as bulls set up challenges for several resistance levels.

Telegram subscribers received an update on Mar. 2, Filbfilb is an analyst at trading software Decentrader and joined growing bullish sentiment about the outlook for BTC/USD.

The Trader is focused on levels over $40,000

Bitcoin has surged to surpass February’s highs after surprising the market on Monday with a surprise breakout. Although Bitcoin has not yet beaten them, traders and investors have been extremely positive about the news and sentiment gauges indicate a rapid transformation on the market.

Filbfilb’s outlook is also positive after BTC/USD crossed both the MA (50-day moving average) and the weekly “massive level” which could be used as support.

“Bitcoin looks pretty good mid-week. He summarized that HTFs are facing challenges at key levels.

A grimmer scenario would see the point of interest for bulls being $40,770. This is ideal as it forms the minimum close to the weekend on 3-day timeframes.

Filbfilb said that the current macro-environment is “bit of a crazy environment. Literally on the brink” of any outcome, given the conflict.

BTC/USD chart, with levels indicated. Source: Filbfilb/ TradingView

Despite the turmoil that is currently gripping global markets, there are signs that crypto as an asset class is on the horizon.

Jurrien Timmer (director of global macro at Fidelity Investments in the United States) noted that both Bitcoin and related stocks have formed a “double bottom”.

For BTC/USD’s continued success, it is important that the February highs of under $46,000 be convincingly turned to support.

It looks like there is a double bottom for BTC and related equities. pic.twitter.com/gzbVqdG7Pg
— Jurrien Timmer (@TimmerFidelity) March 1, 2022

Support for daily charts rises

The orderbook data of major exchange Binance also shows more bullish trades in recent days.

Related: Why Bitcoin prices rallied to $45K in March

With Bitcoin’s popularity increasing, so have the bids. New demand is now at $43,200. The sell-side pressure is still high at $45,000.

BTC/USD orderbook data chart (Binance). Source: Material Indicators

Glassnode, an on-chain analytics company, reported this week that nearly every buyer at November’s all-time highs of $69,000 has given up, indicating a decrease in the desire to exit at prices between these and current spots.

“During the 2.5 month period of consolidation, a large amount of supply was transferred into exchanges for purchase by top buyers. It explained that this supply was gradually absorbed by buyers with higher convictions, and the cost basis of the coins became more heavily weighted in the $29k-$40k price range.” In its weekly newsletter “The Week Onchain”, it explained.

“This behavior describes a large-scale weak hand to strong handed redistribution event.”

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Eileen Wilson

Eileen Wilson –Technology and Energy My Name is Eileen Wilson with more than 5 years of experience in the Stock market industry, I am energetic about Technology news, started my career as an author then, later climbing my way up towards success into senior positions. I can consider myself as the backbone behind the success and growth of topmagazinewire.com with a dream to expand the reach out of the industry on a global scale. I am also a contributor and an editor of the Technology and Energy category. I experienced a critical analysis of companies and extracted the most noteworthy information for our vibrant investor network.

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