The Weekly Close #21: Preparing for lift-off

Dear friends,

Welcome to a new edition of The Weekly Close, where we look at the weekly chart of BTCUSD to figure out what’s ahead for the bitcoin price. Let’s dive right in!

📉 The weekly bitcoin chart

The weekly chart of BTCUSD on Monday, March 27th, 2023

The chart looks the same as a week ago: BTCUSD broke up through the 200-week Simple Moving Average (SMA, in white) and reached the top of the $12K to $28.8K range (blue horizontals). Although the price pierced through the final resistance level, the week closed below $28.8K, leaving the level unbroken for now.

The weekly chart of BTCUSD on Monday, March 27th, 2023 - a closer look

The break out above the 200 SMA looks very healthy. Bitcoin made a clean higher high and has ended nine months of consolidating below the 200-week SMA.

The RSI of the weekly BTCUSD chart on Monday, March 27th, 2023

According to the Relative Strength Index (RSI), the momentum is also healthy. We can’t get a foothold in the bullish control area (the green zone) just yet. Nevertheless, the RSI is in a solid uptrend since the beginning of the year and remains in excellent condition for a sustained bull run.

The Stoch of the weekly BTCUSD chart on Monday, March 27th, 2023

The Stochastic Oscillator (Stoch) keeps snaking around the overbought level of 80. However, the lack of a pullback shows that the bulls are in solid market control.

🔮 To bring it all together:

With bitcoin back above the 200-week SMA, much higher prices are the most likely path forward.

The weekly chart of BTCUSD on Monday, March 27th, 2023

The last line of Resistance remains unbroken at $28.8K. A pullback towards the 200 SMA, around $25K, is a likely path before attempting another break of this final Resistance level. A deeper pullback to the 21-week Exponential Moving Average (SMA, in yellow - currently around $23K) could happen, but a weekly close below the 200 SMA seems improbable.
Further consolidation is expected, with most of the price action probably between the 200 SMA ($25.5K) and the overhead Horizontal Resistance ($28.8K), eventually followed by a break of Resistance towards higher and higher prices.


Best of luck to Greenpeace 🤣


Have a wonderful week, dear friends; take good care of yourself and your loved ones. You can reach us on Twitter, Telegram, or e-mail with any comments, questions, or suggestions.

Nostr pub key: npub1v5jycyudhv64tm4q66vjeqcvxrpgk6u507xypt44cc55ghyh7mqq42suxz

Greetings from the road, somewhere in Europe, and talk again soon!

Photo by Tobias Cornille / Unsplash

Support The Weekly Close by using these excellent services:

  • HodlHodl: buy and sell bitcoin peer-to-peer without counterparty risk.
  • Rollbit: up to 1000X bitcoin leverage futures. Instant execution. 0% Slippage. 0% Fees on loss.
  • Satsback: earn sats when shopping online.

We appreciate your support! ⚡MekongMonkey@stacker.news


Not trading advice. You are solely responsible for your actions and decisions.