Bitcoin (BTC) showed signs of recovery from an overnight rout on April 1 after the Ides of March caught up with bulls at the last minute.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
Bitcoin faces “pivotal” moment
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD passing $45,500 on Friday’s Wall Street open.
The pair had dipped to near $44,000 into the March monthly close, the pullback fuelled by a combination of macro factors and actions by large-volume wallets.
European stocks suffered on the day thanks to Russia threatening to cut off gas supplies, while a vote by European Union lawmakers to ban “unhosted” wallets further soured the mood.
While failing to spark a deeper retracement towards $40,000, the triggers left Bitcoin short of its all-important yearly open at $46,200 at the time of writing. This in turn left the door open for a return of the trading range in force since the beginning of 2022 with the yearly open as its ceiling.
“If we are supposed to go down, I think it’ll happen from here,” trader Crypto Ed summarized alongside a chart showing bullish and bearish continuations.
#BTC update from video
If we are supposed to go down, I think it’ll happen from here.
Bullish alternative in blue pic.twitter.com/xfx4euh7RP
— Ed_NL (@Crypto_Ed_NL) April 1, 2022
For popular Twitter account Material Indicators, short timeframes would be telling for overall market trajectory.
Bitcoin had exited a rising wedge on the weekly chart, but had nonetheless failed to preserve the 50-week moving average (WMA) as support.
“Bitcoin is in a pivotal position,” it wrote on the day.
“BTC bulls lost the 50 WMA, but managed to reclaim the R/S flip above the structure. Volatility resides on either side of the range. Watching for the restests.”
BTC/USD chart. Source: Material Indicators/ Twitter
April known not to disappoint
Unlike March, April is a historically successful month for Bitcoin, leaving this year with much to live up to.
Related: Bitcoin ‘dormant’ for 7+ years moved right before BTC price dropped 5%
According to data from on-chain analytics resource Coinglass, BTC/USD has never lost more than 3.46% in April, with maximum gains at 50%.
Bitcoin monthly returns chart (screenshot). Source: Coinglass
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
Source: https://cointelegraph.com/news/bitcoin-fights-for-support-as-btc-price-loses-46k-yearly-open
