- The crypto market continues sideways, with Bitcoin facing resistance at US$73k and support at US$67k, suggesting a cautious buying approach.
- The fear-and-greed index indicates investor optimism, yet economic uncertainties loom as the FOMC meeting approaches.
- Analysts highlight strong Bitcoin interest but caution that the market was heating up too fast, urging a slower market pace.
The crypto market appears undecided about the future direction as Bitcoin and most major assets continue trading in a sideways motion. Meanwhile, the fear-and-greed index remains firmly in greed territory indicating that investors are still optimistic about the market’s prospects despite potential risks.
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On the other hand, Swissblock analysts say that indicators show “weak bullish momentum” amid a lack of price movement. According to the analysts, one of the reasons for a cautious approach may be the upcoming FOMC meeting next week.
Swissblock Speedometers show neutral price momentum and bearish on-chain fundamentals.
Analysts Say This Level Needs to Be Broken For Uptrend
According to Swissblock, the four-hour BTC chart shows a bullish trend as it approaches the resistance levels of US$70k (AU$104k) and US$73k (AU$109k). A successful break above these points would indicate a strong bullish continuation.
They added that the US$67k (AU$100k) level is acting as robust support, encouraging a strategy of buying on short-term pullbacks:
This approach is underpinned by the belief that BTC’s recent consolidation has built a solid foundation for further upward movement.
Swissblock If BTC surpasses US$73k, it may confirm a substantial upward trend, they concluded.
Analysts Agree on Bitcoin’s Strength, But Caution Needed for Future Pace
Analyst Adrian Zduńczyk, CMT, said in a statement to his 652k followers that the leading assets under management by major investment firms in Bitcoin-related products and overall ETF volumes suggest significant market activity and interest in Bitcoin investments.
He stated mining costs exceed the current price which points towards the cost pressures on miners.
RektCapital wrote that despite perceptions of a slow bull market for Bitcoin, the actual pace has been much faster than historical averages aligned with halving cycles. His analysis indicates that Bitcoin reached new all-time highs well ahead of the expected timeline and has maintained a rapid pace even with recent consolidation phases.
This suggests that to realign with traditional halving cycles, the market might need to slow down further.
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