Bitcoin Stays Above $75,000 Amid US-Iran Tensions

Bitcoin (BTC) managed to maintain its value above $75,000 by the end of the week, even as new uncertainties about the escalating conflict between the US and Iran emerged.

Key Takeaways

• BTC’s price has declined from a recent 10-week high as concerns about renewed hostilities between the US and Iran grow.
• Iran’s closure of the Strait of Hormuz has raised worries about potential increases in oil prices.
• Despite trading, Bitcoin has encountered ongoing resistance at the 21-week trend line as the week wraps up.

Bitcoin’s Highs Prove Short-Lived Amid War Fears

Data from TradingView indicated that Bitcoin’s price pressure is building again after reaching a 10-week peak of $78,400 on Friday.

Over the weekend, mixed signals from both the US and Iran suggested that the previously planned ceasefire might no longer be in effect. Additional developments, like repeated closures of the Strait of Hormuz, drew attention back to crude oil futures, sending WTI crude oil prices below $80 per barrel for the first time since March 10.

“We expect a lively Sunday ahead,” summarized a recent trading analysis document from Kobissi.

Market watchers remain cautious as Bitcoin’s price fluctuates around the recent high. According to trading resource Material Indicators, the market sentiment can shift based on relatively minor information, even from social media.

“While sentiment currently appears very bullish, remember that one tweet could flip things in just a couple of days,” they advised their followers.

Long positions in Bitcoin have been under pressure during this price retracement, with total liquidations in the crypto market reaching about $260 million in the past 24 hours, as noted by CoinGlass.

BTC Price Faces Resistance at Trend Line

Trader Daan Crypto Trades mentioned that a gap could form in the CME Group Bitcoin futures market due to the weekend’s drop. Gaps like this often attract prices when a new week starts, as highlighted by Cointelegraph.

“It’ll be interesting to observe how oil reacts to the latest news regarding the Strait as futures open today,” he noted.

Looking towards the week’s closing price, trader and analyst Recto Capital drew attention to Bitcoin’s 21-week exponential moving average (EMA), currently situated around $78,900.

“Bitcoin has faced rejection at the 21-week EMA,” he remarked while analyzing the weekly chart. “This rejection could lead to a retest of the double bottom high around $73,000 next week if Bitcoin’s weekly close continues this way.”