According to Cointelegraph: Bitcoin started the new week attempting to recuperate after an unusually volatile weekend that sparked heavy losses, sending the BTC price down below recent highs. As it battles sustained selling pressure, the critical question remains - can the bulls reverse the trend?
Unpredictable trading conditions are anticipated to continue this week as crypto and risk assets alike await indications from the imminent US Federal Reserve meeting during the Super Central Bank Week. The ongoing inflation war lingers, with recent data suggesting that inflationary pressures are not subsiding readily.
Bitcoin operates within a crucial zone that must be reclaimed for further price discovery, making this week pivotal. Furthermore, Bitcoin is now only a month away from its next block subsidy halving, potentially repeating its historical trend of a classic pre-halving retraction.
Over the weekend, Bitcoin faced significant selling pressure, falling to its lowest levels since March 6 before bouncing back near to $64,500. The BTC/USD pair almost reached the $69,000 mark, before encountering fresh losses at the week's close and currently revolving around $68,000.
Several analysts who are keeping a close eye on Bitcoin's trajectory have pointed out key resistance and moving averages. Any significant deviations from these could cue substantial shifts in the market.
Further adding to Bitcoin's complexity this week, attention will be closely paid to the Federal Reserve's decisions, given its influence on risk assets, including Bitcoin. The market widely expects that interest rates will remain unchanged given persistent inflation. Simultaneously, Bitcoin edges closer to its halving event, which also historically affects its price direction.
In the midst of all of these factors lies the resilience of the Bitcoin market. Long-term holders (entities hodling coins for at least 155 days) have distributed nearly 600,000 BTC, or around $40 billion, demonstrating a spike in profit-taking on long-held coins over the past month.
As the new week unfolds, the market awaits a convergence of market-moving news, making this a potentially volatile and exciting time for Bitcoin holders and investors.
