To conclude the week, a demand for reclaiming higher levels emerges, with traditional markets recouping losses.
Bitcoin (BTC) kept $40,000 in play at the Wall Street open on Feb. 25 after bulls’ confidence was boosted by 16 percent daily advances.
Whales “leading the charge” towards $40,000
At the start of trade on Feb. 25, data from Cointelegraph Markets Pro and TradingView showed BTC/USD circling the $39,000 level, with global uncertainty failing to trigger a new significant sell-off.
Stocks also gained as the week wound down, with Germany’s DAX up 3% on the day and London’s FTSE 100 up 4%.
Additional encouragement came from the Russia-Ukraine war, with Ukrainian President Volodymyr Zelensky raising the chance of talks to stop hostilities.
With this week’s floor of $34,300, anticipation was gradually growing for a rematch against $40,000 resistance.
“Purple Whales are leading the charge,” monitoring resource Material Indicators observed in reference to a chart indicating a renewed wave of buying from both small and large investors.
“Historically, this class has had the most direct correlation to Bitcoin price. If BTC bulls can push past $41.5K, then $45K should come into focus rather quickly.”
Popular trader and analyst Pentoshi, meanwhile, revealed that he planned to wait for $40,000 to hit before reducing BTC exposure.
Have my next sells at 40.3k (initial was 38.5 for TP1)
40.7k is the summer range high and looks like market will likely get another stab at it for $BTC
Will look for 37.5-38k to hold on any dips this weekend
Still no HH so playing this range https://t.co/u6JTk0WCxl pic.twitter.com/Ra1Ej46HdG
— Pentoshi 🐧 (@Pentosh1) February 25, 2022
As he highlighted, however, on longer timescales, there was no broad paradigm shift in BTC price movement, which continued to trade in a narrow range.
Bitcoin’s dominance continues to grow.
Altcoins have caught up to Bitcoin, bringing some solace to beleaguered bagholders.
Daily increases of 10% were frequent, while the top ten cryptocurrencies by market capitalization were led by Terra (LUNA), which gained 20% on the day to $65.40.
Ether (ETH) remained near $2,700, down 5.7 percent from a week ago.
“Dominance is still on pace to increase further, albeit this upward movement toward the red level may prolong into early March,” trader and analyst Rekt Capital said on a chart comparing Bitcoin’s market capitalization to that of altcoins.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.