There is a technical indicator that has acted as effective support at least seven times in the past three months. It is this level that, if broken, could lead to the level we spoke about in our last article as the target for the mid-halving point, $30,000. The technical indicator I am referring to is the 600-day simple moving average.

At the start of the trading week Bitcoin plunged 6%, losing over $2,000 in value on Monday. This took Bitcoin below $40,000. It also took some traders by surprise, liquidating $439 million in long positions on Monday, according to Coinglass.

Bitcoin continues to form a base above the uber-important 61.8% Fibonacci retracement level residing at around $44,000. As of 3:30 PM EDT, Bitcoin is trading down 2% on the day at $45,600 (Coinbase).

Enter long position in Bitcoin.

Bitcoin is trading higher on the day and is set to form the first green candle since hitting resistance at the 200-day moving average. A green candle indicates that the closing price at the end of the day was higher than the opening price at the start of the day or session. As of 4:30 PM EDT, the world’s largest cryptocurrency by market cap is selling for about $46,300.

As of 4:50 PM EDT, Bitcoin is trading near the lows of the day at around $45,700 according to Coinbase. In the CME’s futures market, Bitcoin’s most active contract month (April BTCJ2022) is trading near $45,845. Some analysts have been looking for the gap formed on the CME futures chart between last Friday and Monday to be filled.

Over this last Sunday, March 27th, Bitcoin made a tremendous break out after forming a base above the long term 61.8% Fibonacci retracement at $44,500 (data set from $33,000(last year’s lows) to $69,000). Monday, March 28th marked the first time Bitcoin had a close above this pivotal level since January 4th.

Last night (Sunday, March 27th) Bitcoin made a tremendous break out after forming a base above the long term 61.8% Fibonacci retracement at $44,500, using a data set from $33,000(last year’s lows), to $69,000 the all-time high. Yesterday marked the first time Bitcoin had a daily close above this pivotal level since January 4th.

Time to raise your stops.

Raise protective stop from $42,500 to $44,150.