Bitcoin continues to pullback towards 30k

Bitcoin chart analysis

The bitcoin price fell below $ 35,000 early this morning after Russian President Vladimir Putin launched a military operation against Ukraine. According to CoinMarketCap, bitcoin was worth $ 34,368 earlier in the morning, which is a drop of more than 8% compared to the day before.

The world’s most valuable cryptocurrency fell below $ 40,000 over the weekend and continued to slide as the Ukrainian crisis intensified.

Bitcoin lost almost half of its value from its highest level in November last year $ 68,990 due to geopolitical tensions, the possibility of rising interest rates by the US Federal Reserve, and the restriction of digital assets in some major world economies.

Other cryptocurrencies also fell sharply early Thursday morning. Ethereum fell by more than 12 percent, while Dogecoin weakened by more than 14 percent. The last price of Ethereum was $ 2,349, and Dogecoin was 10 cents.

Evard Moja, a market analyst, told his company’s clients on Thursday that “the recent crash has hit many crypto investors, and that they are hesitant to increase their stake due to the huge uncertainty of risky assets.” He predicts that bitcoin will probably not reach the price of 40,000 dollars again soon because geopolitical tensions will prevent risky assets from growing significantly.

In its latest market update on February 24, the trading platform Decentrader outlined the final areas of support between the current price of Bitcoin and $ 20,000. Russia’s military action in Ukraine launched markets on Thursday, and stocks and cryptocurrencies are following a steady declining trend as uncertainty grips Asia, Europe, and the United States.

Bitcoin has already lost 12% in less than 24 hours, and expectations are that the worst is not over yet – reactions to the Russian offensive continue to arrive, along with potential financial sanctions.

For long-term investors, we are approaching historically high levels of support, and anywhere in the region is likely to be a good place to average dollar spending in the coming weeks.

Meanwhile, the battle between gold and digital gold continues to rage during the day, with gold reaching $ 1,970 and BTCUSD recovering only slightly from its lowest overnight value of $ 34,300.

Bullish scenario:

• Price is currently supported at $ 35,000, and we need a new positive consolidation to help prices recover.
• Our first target is yesterday’s high at $ 39,000, and our additional support is the MA20 moving average.
• If the price continues to recover, our next target and resistance is $ 40,000.
• Additional resistances at that level are our MA50 and MA200 moving averages.

Bearish scenario:

• Due to geopolitical developments, the bearish scenario is more evident, and we need to continue this negative consolidation.
• We will probably re-test the $ 34,000 support zone, and if it doesn’t last, then go down to $ 33,000, the lowest price for Bitcoin this year.
• Due to the increased bearish pressure, we may see a break below $ 33,000 and the formation of a new lower low, and our psychological target is $ 30,000, a support zone.