Could BTC’s 61.8% Fibonacci Retracement Indicate a Retracement in Price on Sunday?

by James · February 25, 2023

During the Asian trading session, the overall cryptocurrency market has been relatively stable, with BTC holding above $23,000 and ETH retreating above $1,550. Due to the lack of volatility, leading cryptocurrencies such as Bitcoin and Ethereum are currently trading within narrow price ranges as market participants expect a busy week ahead.

Let’s take a quick look at the fundamentals of the market before diving into the technical outlook.

Table of Contents

Whales Move Millions: Are Coinbase and Binance the Next Big Ethereum, Bitcoin Hotspots?

In the last 24 hours, three Ethereum whales have made significant transfers to Binance and Coinbase. The first transfer delivered 92,170 ETH worth $150.9 million to Binance from an undisclosed wallet. Interestingly, the whale left a relatively small sum of 1,000 ETH, worth $1.6 million, in the wallet.

Another Ethereum whale followed up with a transfer of 25,361 ETH worth $40.5 million from an unknown wallet to Coinbase a few hours later.

This whale practically emptied his Ethereum wallet to zero in the process. Soon after, a third Ethereum whale abruptly transferred 15,110 ETH worth $24.3 million from an undisclosed wallet to Coinbase, also emptying their bank account.

Not to be outdone, a large Bitcoin whale appeared next, transferring 9,475 BTC worth $219.5 million between two unknown wallets. Bitcoin does not appear to be headed for any crypto exchanges, where it can be traded on the open market.

How does it affect crypto prices?

Large transfers from whales often create ripples in the market, and they can be interpreted as a sign of potential price movements. Some investors may see these transfers as a signal of positive sentiment, potentially driving up the prices of Bitcoin and Ethereum.

On the other hand, some investors may interpret these transfers as a sign of potential selling pressure, which could cause the prices of these cryptocurrencies to drop.

The week ahead: key events to watch from the US economy

Several key indicators that could affect cryptocurrency prices will be closely watched by financial markets in the coming week. CB Consumer Confidence, ISM Manufacturing PMI, Unemployment Claims and ISM Services PMI are among the indicators.

The CB Consumer Confidence Index could affect investor confidence, which could affect cryptocurrency demand. If consumer confidence is high, it may indicate a positive outlook for the economy and increase demand for cryptocurrencies.
The ISM Manufacturing PMI provides insight into the health of the industry, which is a critical driver of economic growth. If this indicator is strong, it may indicate that the economy is doing well, which will increase the demand for cryptocurrencies.

Unemployment requirements provide information on the health of the labor market, which is a critical component of the overall economy. A low unemployment rate can indicate a positive mood and increase the demand for cryptocurrencies.
Finally, the ISM Services PMI provides information on the health of the service sector, which is a significant contributor to the economy. If this indicator is strong, it can indicate positive sentiment and increase demand for cryptocurrencies.

Bitcoin price

Bitcoin is currently trading around $23,000, with a 24-hour trading volume of $18 billion and an increase of 0.50% in the last day. The immediate support level for Bitcoin is at $22,800 and a break below this level by the BTC/USD pair could potentially expose the price of BTC to the next support area at the $22,150 level.

In the 4-hour time frame, Bitcoin has completed the 61.8% Fibonacci retracement at the $22,800 mark, and a close above this level has the potential to drive an uptrend in BTC.

**Bitcoin Price Chart – Source: Tradingview**

On the upside, Bitcoin’s immediate resistance level remains at around $23,500. However, since the BTC/USD pair has entered the oversold zone, there is a possibility that BTC may come back and break through the $23,500 resistance level, potentially leading to a price of $24,250.

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Ethereum price

The current live price of Ethereum is just below $1,600 and on the technical front, the ETH/USD pair is currently facing a significant resistance level at $1,620, which is reinforced by the 50-day EMA. If the pair closes below this level, it could trigger a selling trend in ETH.

Ethereum’s price is currently trading below the immediate support level of $1,570. Once this level is breached, the next support for Ethereum is at $1,515. On the other hand, if the Ethereum price breaks through the $1,625 resistance level, it could rise to the $1,674 level.

The $1,740 level represents the next significant barrier to price growth above this point.

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Top 15 Cryptocurrencies to Watch in 2023

Investors in the cryptocurrency market have many options beyond Bitcoin (BTC) and Ethereum (ETH). The Cryptonews Industry Talk team has compiled a list of the top 15 altcoins to watch in 2023.

The list is regularly updated with new ICO projects and altcoins, so be sure to check back often for the latest additions.

^{Disclaimer: The Industry Talk section contains insights from crypto industry players and is not part of the editorial content of Cryptonews.com.}