Here are Bitcoin price levels to watch as BTC falls 5% from highs
Bitcoin (BTC) declined on August 12 as a widely expected pullback from two-month highs began to take shape.
The 200-week moving average becomes the pivot
Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD fell to $23,615 on Bitstamp before today’s Wall Street open, marking a 24-hour loss of around 5.2%.
The pair had seen the highest levels since June 13 as enthusiasm over falling US inflation combined with news that the world’s largest asset manager, BlackRock, was launching a private Bitcoin fund.
While some commentators hoped Bitcoin would tackle resistance near $30,000 as a result, others remained cautious, suspecting another downtrend could follow.
Target 1 hit https://t.co/iBA8qRrEOq
— Crypto Tony (@CryptoTony__) 12 August 2022
“Volume is dying. Channels are not impulses, but corrections,” the popular Crypto trading account Il Capo wrote in his last update of the day.
“Most people expect 28k or higher, but the big level is 25000-25500.”
A further post reinforced the idea that the recent gains were part of a “bear market rally.”
Fellow trader Jibon, meanwhile, drew fresh attention to Bitcoin’s 200-week moving average (MA), currently near $23,000.
After regaining it during the run-up, the key support level for the bear market was now rapidly approaching as the spot price weakened.
“If 200 MA rejects, ready for some drop,” he warned in part of a new post of the day.
Ethereum Remains ‘Very Strong’
On a more positive note, Crypto Ed, meanwhile, stuck to predictions of further gains for both Bitcoin and largest altcoin Ethereum (ETH).
Related: Coming Earlier: ETH Developers Move Up Merge Date
After calling the trip to $1,900 for ETH/USD, a breakout to $29,000 was still on the cards for BTC/USD, he said on the day.
Same move-in #BTC would mean 28-29k
But that shouldn’t surprise you when you follow me. Already been calling it for weeks in my YT updates. pic.twitter.com/4Q5UmNqOGy— Ed_NL (@Crypto_Ed_NL) 12 August 2022
In an accompanying YouTube update, Crypto Ed added that should a retracement come next, an appropriate long position for BTC would be $23,400.
“Is that something bearish for me? I think only if we go below $22,000 and we have a bearish retest of that level,” he continued.
Regarding Ethereum, TechDev co-trades described price action as “very strong”, noting that ETH/USD had regained its 20-week exponential moving average while BTC/USD was “still fighting against” its 10-week equivalent.
The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trade involves risk, you should do your own research when making a decision.
