That was quite a weekend for Bitcoin, which had slipped 4.86% on Saturday, off the back of a sharp pull back from the day’s intraday high $8,356.4 that continued through to Sunday’s intraday low $7,325.37, struck late in the afternoon.
Market sensitivity to the news wires was evident once more as investors responded to the news of Twitter’s plans to ban crypto ads in the weeks ahead. Just how damaging such a move will actually be to the likes of Bitcoin is unclear but, with Facebook and Google having already introduced bans, much of the damage is likely to have already been done and the cryptomarket is still alive and kicking.
A Sunday evening bounce back through to an end of day $8,280 was quite a jump in the final hours of the weekend, with Bitcoin moving through and holding above the day’s first major resistance level of $8,232.2, particularly when considering that Bitcoin had fallen through the day’s 1st and 2nd support levels just hours earlier with relative ease.
News hitting the wires of expectations that the G20 will not look to introduce damaging regulations provided much needed support for the cryptos late Sunday and for Bitcoin through the early part of this morning.
Bitcoin was up 1.52% to $8,312.91 at the time of writing, with Bitcoin Cash the only major crypto sitting in the red at the time of writing.
With Bitcoin sitting at the day’s 38.2% FIB Retracement Level of $8,305.8, a move back through to today’s intraday high $8,461.38 would support a run at today’s 1st major resistance level of $8,598.21, though we will expect Bitcoin to face plenty of resistance at $8,400 levels. Bitcoin has managed to gain more than $1,000 since Sunday evening’s low and, while there is talk of the G20 taking a softly softly approach to the cryptomarket, last week’s session in Congress suggests otherwise and some caution would certainly be needed.
A failure to break through to $8,500 levels will likely test investor resolve later in the day, which could see Bitcoin pull back through to today’s intraday low $8,130.01, with any fall to below the day’s 23.6% FIB Retracement Level of $7,931 likely to bring support levels into play this evening.
Looking across at the Cboe Bitcoin Futures April contract, this morning’s $245 fall to $8,340 supports current levels, though we will expect the news wires to ultimately decide the fate of Bitcoin through the day, as investors look to avoid another sell-off later in the day.
Elsewhere, Cardano trail blazed through the morning, gaining 6.83% at the time of writing, with the rest of the majors failing to make any gains of beyond 2%.
We can expect a choppy week ahead and with volatility comes opportunity, support for cryptocurrencies appearing to be unwavering for now.