Bitcoin’s Trading Behavior in Response to Popular Pricing Models

03/17/2023 12:34 • Metaverse Matters • 151 views

According to reports, according to data disclosed by blockchain analysis company Glassnode, recently, the price of Bitcoin hovered between several popular and widely observed technical analysis pricing models. After hitting the resistance of the 200 week and 365 day moving averages (about 25.0k) in February, the price hit the 200 day and 111 day moving averages (about 19800) this week and then rebounded. This is the first cycle in history for BTC to trade below the 200 week average, From this perspective, the market is in a new area. In addition, Glassnode data shows that Tether was always at a premium of $1.01 to $1.03 during the collapse of banks in Silicon Valley, which means that Tether is seen as a safe haven amid concerns that the US banking industry is subject to strict regulation.

Glassnode: The first time in Bitcoin history that a transaction cycle occurs below the 200 week moving average

Analysis based on this information:

According to recent reports, Glassnode, a blockchain analysis firm, has disclosed data that indicates Bitcoin’s trading behavior is following popular technical pricing models. Bitcoin’s price had hit resistance around the 200 week and 365 day moving averages, at about 25.0k in February, only to rebound and now trade around the 200 day and 111 day moving averages, at around 19800. This is the first time that Bitcoin has traded below the 200 week average, which indicates that the market has entered an entirely new area.

Technical analysis uses patterns and trends in price charts to predict future price movements. Moving averages are one such tool used in technical analysis, which indicate the average price of an asset over a set time period. In this case, Bitcoin price movements are monitored against the 200 day, 111 day, 200 week, and 365 day moving averages. The current data from Glassnode indicates that Bitcoin’s price is falling within the standard deviation of the technical analysis pricing models.

It’s important to note that technical analysis pricing models are not perfect, and there are other factors that contribute to the price of Bitcoin. However, understanding these models and tracking the price movements according to them can provide insight into market trends and help traders make informed decisions.

In addition, Glassnode data has revealed that Tether, a stablecoin pegged to the US dollar, has maintained a premium of $1.01 to $1.03 during the collapse of banks in Silicon Valley. This indicates that Tether is being viewed as a safe haven asset by investors amid concerns over the potential for strict regulation in the US banking industry.

In conclusion, Bitcoin’s trading behavior seems to be following popular technical analysis pricing models, which can provide insight into market trends. Tracking these patterns and understanding the factors that influence them can help traders make informed decisions. Additionally, Tether’s perceived value as a safe haven asset highlights the importance of diversifying one’s portfolio and considering alternative assets.

This article and pictures are from the Internet and do not represent SipPop's position. If you infringe, please contact us to delete:https://www.sippop.com/5304.htm

It is strongly recommended that you study, review, analyze and verify the content independently, use the relevant data and content carefully, and bear all risks arising therefrom.

Bitcoin’s Trading Behavior in Response to Popular Pricing Models

Glassnode: The first time in Bitcoin history that a transaction cycle occurs below the 200 week moving average

Related recommendations