BTCUSD price surged more than 12% after breaking significant resistance of $25000. The crypto market performed after the collapse of Silicon Valley bank. The banking turmoil has increased the chance of a rate pause by the Fed in the coming months. BTC hits a high of $28578 and currently trading around $27802.
Major economic data for the day
Mar 21st, 2023 US Existing Home Sales (2:00 PM GMT)
Factors to watch for Bitcoin price action-
US markets -
NASDAQ (positive correlation with BTC)- Bearish (negative for BTC). The index was one of the best performers the previous week and jumped more than 1000 points from the minor bottom of 11677. Any daily close above 13000 will push NASDAQ prices higher to 13725.
According to the CME Fed watch tool, the probability of a 25 bpbs rate hike in Mar increased to 73.8% from 65% a week ago.
Technicals-
Major support- $27200. Any break below will take it to the next level at $26600/$25000 is possible.
Bull case-
Primary supply zone -$28500. The breach above confirms minor bullishness. A jump to the next level of $30000/$37000/$43200/$48500 is possible.
Secondary barrier- $52200. A close above that barrier targets $60000/$69000.
It is good to buy on dips around $25000 with SL around $23000 for TP of $30000.
