The blockchain community got some good news on March 14 after regulators in the European Parliament’s Committee on Economic and Monetary Affairs rejected a ban on proof-of-work (PoW) based cryptocurrencies like Bitcoin (BTC), which would have had significant repercussions. for the crypto industry.
Data from Cointelegraph Markets Pro and TradingView shows that despite positive development, Bitcoin continues to trade sideways near the $39,000 level amid geopolitical uncertainty and the possibility of a rate hike by the Federal Reserve later this week. CME Fed Fund futures prices suggest traders are pricing in a March 16 rate hike with 100% confidence.
Here’s what several analysts are saying about the outlook for Bitcoin ahead of a potential rate hike and what levels to watch for when tracking the bull and bear market scenarios.
Price action was “insanely boring”
The price action in the cryptocurrency market on Monday was “insanely boring,” according to market analyst and CoinTelegraph contributor Michaël van de Poppe, who Posted the following chart outlining a possible path BTC could take in the coming days:
Referring to the chart, Van de Poppe said:
“Fundamentals -> good steps. But the liquidity sides are still the same. Sub $37,000 and we accelerate. Above $45,000 and I think we are accelerating for Bitcoin.
Continuous consolidation pattern
Overall, Bitcoin appears to be continuing the consolidation pattern it has been following for the past two months, as shown in the following chart: Posted by on-chain cryptocurrency analyst Will Clemente.
As for what comes next with this pattern, options trader and pseudonymous Twitter user John Wick Posted the following chart, noting that “a squeeze is forming on the daily chart.” He further explained:
“Violent moves are coming out of the tightness, just like we saw the last time this formed.
Related: Law Decoded: Joe Biden’s executive order is finally in effect, and it doesn’t look too terrible, March 7-14.
Looking to convert $38,000 in support
Analysis from a higher timeframe perspective was provided by crypto analyst and pseudonymous Twitter user Rekt Capital, who Posted the following chart points to the ongoing effort to flip $38,000 in support for Bitcoin:
“New BTC Weekly Close shows that the Higher Low (green) is still intact and the price is still trying to properly convert the $38,000 area into support (red),” explains Rekt Capital .
One final piece of reassurance for Bitcoin bulls was noted by analyst and pseudonymous Twitter user TAnalyst, who Posted the following chart shows that BTC is trading near a key support level:
The analyst explained:
“BTC – The 9-year-old support, never broken. Talking is not necessary. Graphics speak for themselves.”
The total cryptocurrency market now stands at $1.718 trillion and Bitcoin’s dominance is 42.8%, according to CoinMarketCap.
The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risks, you should do your own research when making a decision.