Bitcoin has been all over the place in the past few days. It rose to a new lifetime high of $73,835 on March 14 but then quickly gave back its gains and plummeted to $64,774 on March 16. This shows that some traders may have booked profits after the recent leg of the rally. Will Bitcoin’s price pick up and soar to a new all-time high again, or is it time for a correction? That’s the question in every trader’s mind.

The sentiment in the cryptocurrency sector received a boost following strong inflows into the spot Bitcoin exchange-traded funds, and that remains intact. CoinShares data shows record inflows of $2.9 billion into digital asset investment products last week. That pushed the year-to-date inflows to $13.2 billion, overtaking the 2021 full-year inflows of $10.6 billion.

We cautioned readers in the previous analysis that vertical rallies are rarely sustainable and are usually followed by sharp declines. Bitcoin surged to $73,835 on March 14 but then nosedived to $64,774 on March 16. The bulls are attempting to defend the 20-day exponential moving average (EMA), but the shallow bounce off it suggests that the bears are selling on every minor rally. If the BTC/USD pair breaks and closes below the 20- day EMA, it may trigger the stops of several shortterm traders.

The pair could then drop to $59,224 and later to the 50-day simple moving average (SMA). Buyers are expected to defend the 50-day SMA with vigor. The pair may enter a few days of consolidation before starting a trending move. On the upside, if the price rises above $69,000, it will suggest that the corrective phase may be over.

The pair could jump to the all-time high at $73,835. If this level is scaled, the pair could rise to $80,000. However, we give it a low possibility of occurring in the near term.

Lastly please check out the advancement’s happening in the cryptocurrency world.

Enjoy the issue!