FX.co ★ Technical Analysis of BTC/USD for February 15, 2023

Crypto Industry News:

Cathie Wood, CEO of the visionary investment fund ARK Invest, which holds positions in "future economy" companies, still believes in cryptocurrencies. Last Friday, the fund purchased another tranche of Coinbase shares, even as the cryptocurrency giant's shares fell by almost 85% from a record high of $ 348.98 on November 12, 2021 and the recent settlement between the Kraken exchange and the SEC market regulator, which pulled subsequent price drops.

ARK Invest purchased 162,325 shares of Coinbase worth a total of USD 9.2 million, which is the third investment in two months and the fourth since November 2022. In November 2022, the fund purchased shares of Coinbase worth USD 56 million. The company's purchasing history shows that in the previous two rounds, it acquired shares worth $5.8 million and $3.3 million, respectively, and in December, shares worth $11.9 million.

The value of Coinbase (COIN) shares has fallen sharply recently due to the controversy surrounding the popular exchange Kraken. After rising to $81 per share on Feb. 2, COIN has seen a massive 95% increase in just one month.

Technical Market Outlook:

The BTC/USD pair key short-term technical support located at $22,523 and $22,308 had been violated and the bears made a new local low at the level of $21,488. On the lower time frames, like H4, the momentum is still weak and negative, but bulls are tying to bounce towards the level of $22,328 to test it again. The market trades below the short-term trend line resistance (orange line on the chart) and below 50 and 100 MA, but any violation of this levels would have a bullish consequences. A breakout above the level of $25,000 on BTC/USD is still needed in order to extend the rally towards the key mid-term technical resistance seen at $25,442, so there is still a room to the upside for bulls.

Weekly Pivot Points:

WR3 - $22,270

WR2 - $22,017

WR1 - $21,928

Weekly Pivot - $21,765

WS1 - $22,675

WS2 - $21,510

WS3 - $21,322

Trading Outlook:

Despite the recent rally, the down trend on the H4, Daily and Weekly time frames continues without any indication of a possible trend termination or reversal. So far every bounce and attempt to rally is being used to sell Bitcoin for a better price by the market participants, so the bearish pressure is still high. The gamechanging level for bulls is located at $25,442 and it must be clearly violated for a valid breakout in the longer term.