Bitcoin (BTC) surged back to $80,000 on Friday after U.S.-Iran war nerves caused a 3% daily loss.
Key Points:
- Bitcoin’s bullish momentum is slowly returning after a shakeout amid familiar geopolitical tensions.
- Traders consider support levels in the mid-to-high $70,000 zone critical for bulls to defend.
- Unprecedented Bollinger Band data calls for more volatile conditions in the future.
Bitcoin retests $80,000 after selloff
Data from TradingView showed that downward pressure on BTC prices is easing towards opening on Wall Street.
BTC/USD Hourly Chart. Source: Cointelegraph/TradingView
Risky assets fell on Thursday amid rumors of the US resuming its Project Freedom campaign against Iran, while military attacks from both sides threatened a feeble ceasefire. The S&P 500 set modern all-time highs.
One-hour chart of the S&P 500. Source: Cointelegraph/TradingView
Commenting, cryptocurrency trader Michaël van de Poppe said the retracement was “not a surprise” given the recent rapid gains.
“The trend in assets is wavelike. Bitcoin has been recording upward dynamics for several days, so it is not strange to expect that its consolidation will take place now,” he wrote in Post X then.
“I think as long as the trend remains consistent, we will see further increases in the coming weeks.”
BTC/USDT 1-day chart. Source: Michaël van de Poppe/X
Then Van de Poppe described Bitcoin is “doing quite well” but said $76,000 needs to be held as support.
“The first increase from the bear market ends at this resistance, which would give a little more momentum to Altcoins,” he added.
Trader Jelle also remained upbeat on the outlook, arguing that intraday lows near $79,000 are bound to hold.
“Even in the case of a bear market, I believe that the turquoise zone will maintain the price and reverse the upward trend,” he added. he said X followers of the charts showing $74,500 as a potential downside target.
BTC/USDT Charts. Source: Jelle/X
Bitcoin Volatility Index Needs Bigger Moves
Therefore, on the daily time frame, BTC/USD failed to maintain a break beyond the upper volatility limit of the Bollinger Bands.
Related: Bitcoin could fall to $50,000 if ‘most critical’ bear market test fails: analysis
BTC/USD 1-day chart with Bollinger Bands data. Source: Cointelegraph/TradingView
How – Cointelegraph reportedPositive signals from Teams even inspired their creator, John Bollinger, to take a stand through his own investment funds.
In X’s answertrader SuperBro has observed the tightest-ever band conditions on the monthly time frame – a key condition for increased volatility.
Monthly BTC/USD chart with Bollinger Bands data. Source: Cointelegraph/TradingView
