The largest cryptocurrency by market cap, Bitcoin (BTC), fell more than 6% on March 3. Bearish sentiment has once again taken over the cryptocurrency market, however, amid the rising FUD, analysts are still bullish in the long term.
Analyst Justin Bennett stated that Bitcoin bulls should closely monitor the $23,130 price for BTC. If bulls are unable to take back the mentioned crucial price region, the trader believes that Bitcoin may experience another sell-off.
The longer Bitcoin trades below that price range, the region becomes stronger as a resistance and hence a retake above $23,130 is crucial, according to the analyst. Bitcoin might advance near the $20,800 liquidity pool if Bitcoin bulls are unable to retake $23,130.
“If they can reclaim $23,130, then $23,800 is the next hurdle for buyers.But, for now, Bitcoin is range bound between the January trend line at $21,900 and the monthly open at $23,130,” he added.
Ethereum
Bennett believes that Ethereum (ETH) is following in Bitcoin’s footsteps. As long as ETH is trading below $1,600, the analyst believes it may be preparing for the next move down. Based on recent closing prices and this week’s lows, the $1,600 level is currently a fresh area of resistance.
“The monthly open is just above that at $1,605, so keep that in mind.If ETH bulls can’t reclaim $1,605 in the next few days, we’ll likely see a retest of $1,500 support, and below that is the $1,420 confluence of support,” Bennett said.
MATIC
Polygon (MATIC appears to be in danger of falling below $1, according to Bennett. He said that the fact that MATIC has (so far) been unable to get back above $1.179 is one thing that’s a little alarming. The next stop, assuming MATIC doesn’t fake out, is $1.056 if it closes below $1.1790.
“But all in all, MATIC looks increasingly weak, so I wouldn’t be surprised to see $1.056 tested in the coming days, if not the $1 mark or lower.”
