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Bitcoin (BTC) experienced intraday lows following the Wall Street opening on September 26, as its price movement avoided significant volatility.
BTC/USD 1-hour chart. Source: TradingView
Binance traders establish minimal BTC price resistance
Data from Cointelegraph Markets Pro and TradingView indicated that the leading cryptocurrency was trading within a narrow range while maintaining $26,000 as a support level.
Bitcoin bulls encountered multiple retests of the $26,000 mark as the week commenced, which continued to hold at the time of this report.
Examining the dynamics on the largest global exchange Binance, the monitoring resource Material Indicators assessed potential future scenarios.
With $50 million in bid liquidity situated between $25,000 and the current spot price, compared to only $6 million in overhead resistance, there was minimal pressure “holding price down.”
“Observing whether it replenishes, shifts, or gets consumed,” part of the commentary noted.
Material Indicators emphasized that $24,750 — the site of Bitcoin’s mid-June low — remained a “line in the sand” for bulls, consistent with previous weeks.
BTC/USD order book data for Binance. Source: Material Indicators/X
While characterizing the current situation as “not all that bad,” well-known trader and analyst Daan Crypto Trades pointed out two critical levels that could influence a new BTC price trend.
These levels included the 200-week moving average (MA) at $28,000 and a horizontal support area around $25,000.
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“Until then, we would likely observe low timeframe erratic price movements,” he conveyed to X subscribers on that day.
#Bitcoin Looking at the bigger picture, it’s not all that bad.
But I doubt we’d see any significant trend develop until either:
1. Weekly 200MA (~$28K) is breached.
2. Horizontal Support (~$25K) is breached.
Until then, we would likely observe low timeframe erratic price movements. pic.twitter.com/eSgf2LgzKu— Daan Crypto Trades (@DaanCrypto) September 25, 2023
Bitcoin enters “positive seasonality” phase
Taking a broader perspective, financial commentator Tedtalksmacro expressed optimism regarding Bitcoin’s prospects for the remainder of 2023.
Related: Bitcoin exchange volume tracks 5-year lows as Fed inspires BTC hodling
“Bitcoin is entering a phase of positive seasonality,” he asserted.
Highlighting that October is typically a profitable month for BTC holders, Tedtalksmacro noted that 2022 was an exception due to the United States benchmark interest rates.
“However, for BTC, this is an unprecedented environment,” he added.
“Before 2022, BTC had never existed in a context with rates significantly higher than 2%… whereas now in late-2023, the Federal Funds rate is above 5% and is likely to remain elevated for an extended period as central banks worldwide attempt to control inflation.”
An accompanying chart illustrated that October has historically been Bitcoin’s most successful month over the past three years, with data from the monitoring resource CoinGlass supporting this observation.
BTC/USD monthly returns (screenshot). Source: CoinGlass
As Cointelegraph reported, Bitcoin is anticipated to make a resurgence later in the year as its next block subsidy halving approaches.
This article does not provide investment advice or recommendations. Every investment and trading decision carries risk, and readers should perform their own research before making any decisions.
