Bitcoin doomed this week?📉😵‍💫

What’s up traders!

Hope everyone had a nice weekend. Little Bitcoin update for you before we kickoff the week.

Anyways…let’s dive right in!

We had quite the rough week in crypto land last week with about an -8% drop off the weekly Wednesday high.

Since then we’ve basically been crabbing along with both the bulls & bears seemingly on edge.

If you’re not aware, cause for this recent leg down was due to concerns at Silvergate Bank, which if you don’t know is basically an on-ramp bank for institutions to gain exposure to crypto.

You can argue that the market wants to see the true extent of the Silvergate FUD and if it will cause a liquidity crunch, forcing our precious crypto down even further.

Taking a look at Bitcoin, we’ve mapped out some key levels on the 4H chart.

Red line was the bullish 25K level which seems miles away at this point in time.

Purple box shows this recent crabbing and we’ve shown 2 scenarios we’re eyeing up.

First yellow line is the 21.5 support that we saw back in early February, and the 2nd support at 20.6 is the January level.

Scenario 1:

If we bounce to 21.5 (which is what we’re leaning towards) and hold, then a rebound back up towards 25 would be the bullish case.

Scenario 2:

However…if we bust that 21.5 level and magnet towards the 20.6 level…oh boy.

Below 20.6 we really don’t have any support until the previous lows from 16-18k.

Pair this with a busy economic calendar this week and we might see trouble for Bitcoin and crypto.

That’s all we got for today.

Eyes peeled out there folks.

If you’re wondering where we trade crypto, we use OKX & right now you can unlock up to a $10,000 bonus when signing up using our link! 👉 OKX Sign Up

We’ll see ya in the next one.

-The AlgoBuddy Team