The BTC/USD pair is also oscillating at the standard pivot point.
- Sell the BTC/USD pair and set a take-profit at 26,500.
- Add a stop-loss at 30,000.
- Timeline: 1-3 days.
- Set a buy-stop at 28,700 and a take-profit at 30,000.
- Add a stop-loss at 26,000.
The BTC/USD pair was flat on Tuesday morning as traders waited for the next catalyst and the banking industry stabilized. Bitcoin was trading at $28,000, where it has been in the past few days. This price is a few points below last month’s high of $29,200.
The BTC/USD pair has moved sideways in the past few days. It has remained slightly below the year-to-date high of 29,200. The pair seems like it has formed a double-top pattern, which is usually a bearish sign. The neckline of this pattern is at 26,514, the lowest point on March 27.
Further, the BTC/USD pair has consolidated at the 50-period exponential moving average (EMA). Oscillators like the Relative Strength Index (RSI) and the MACD have formed a bearish divergence pattern. The RSI is hovering at the neutral point of 50 while the histogram of the MACD has moved below the zero line.
The BTC/USD pair is also oscillating at the standard pivot point. Therefore, the pair will likely remain in this range in the next few days. The pair will then have a bearish breakout, as sellers target the neckline of the double-top pattern at 26,514, which is about 6.20% below the current level. A break below that level will push the pair to the next key support at 25,346, the highest point in February.
On the other hand, a break above the double-top pattern at 28,958 will mean that bulls have prevailed, which will push it to 30,000.
On the daily chart, the BTC/USD pair has been in a bullish trend after it settled at a low of 15,630 in November last year. The pair has managed to flip the resistance point at 25,393 into a support point. It has also moved to the 23.6% Fibonacci Retracement level. The pair is also supported by the 50-day exponential moving average.
Most importantly, the pair has formed an inverted head and shoulders pattern while volume has been falling. Therefore, in the longer term, the pair will likely continue rising as buyers target the next psychological level at 30,000. A break above 30k will push it to the next key level at 35,750, the 38.25 retracement point.