Bitcoin (BTC) is currently trading up 12.36% at $24,518 in 7 days after reaching 2 days high of $25,025. Glassnode Co-founder and CTO, Rafael Schultze-Kraft, believes Bitcoin might soon see a paradigm shift in terms of network usage, block space, and fees, as suggested by the recent on-chain footprint. He says the recent development of Bitcoin ordinals and inscriptions is truly astounding him, and this shift might happen if adoption continues to accelerate. In a thread of tweets, he stated several milestones reached by the Bitcoin network. One of which was the massive increase seen in the average Bitcoin block size, which has constantly reached values well above 2 MB in the past week. The Glassnode CTO says that this is the first significant BTC block size increase since the 1 MB cap was removed with Segwit in August 2017. The recent rise of Bitcoin Ordinals can also be seen in transaction types. Taproot is now the 4th most popular transaction output type in the Bitcoin network.
Key Levels
Resistance Levels: $30,000, $27,000, $25,000
Support levels: $23,000, $20,000, $17,000
BTC/USD Daily ChartBTC/USD made a pivot around the $21,500 level in the prior week before entering what appears to be a rebounding market. Resistance was encountered at or around $25,000, which caused the pair to stall in their movement. In a continuation of Friday’s bounce, BTC touched intraday highs of $25,200. The RSI is working to rise above the 80 level.
Support for any further price declines should come from the $22,000 support level before losses accelerate further toward the $17,000 level. The moving averages 50 and 200, which are located at $21,500 and $20,000, respectively, would most likely present immediate support if an upside reversal occurred. The BTC/USD pair might reach $27,000 if these are broken through, however, or even higher.
BTC/USD 4-Hour ChartOn February 15, BTC/USD recaptured the 4-hour MA 50 and MA 200 support. Bitcoin (BTC) is currently trading above the two moving averages, indicating a bullish outlook. In any sell-off, there is a risk of a retest of the moving averages. The bears are seeking to stop the advance around $25,000; if this happens, the BTC/USD pair may revisit the MA 200 support at $23,000.
The BTC/USD pair is only bullish if it is trading above the $25,000 horizontal resistance zone, on the other hand, if the $21,500 support level fails, BTC might decline under $20,000. Important resistance is also located at the $27,000 and the $30,000 levels. Sellers may test the $21,500 and $20,000 levels if the BTC/USD pair goes below the $23,000 mark.
Note: Kryptomoney.com is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results
Image Credit: Shutterstock
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
