Bitcoin (BTC) strengthened at $22,000 on July 24 and the bulls are still aiming for a solid green close of the week.

Hourly candlestick chart BTC/USD (Bitstamp). Source: Trading View

Classic levels for price focus at the end of the week

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Data from Cryptooshala Markets Pro and trade view showed that BTC/USD halted the fall to $21,900 over the weekend to return to $23,000 on the day.

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The pair held a trading range closely focused on key long-term trendlines that analysts had previously considered necessary for a recovery.

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These include the 50-day and 200-week moving averages (MA), the latter being especially important as support during bear markets, but which have acted as resistance since May.

“Bullish hopes that we held the 13-day EMA + horizontal 21.9k perfectly,” said popular Twitter trading account CryptoMellany. Last update in a day.

“I think we will stop at 22.5K by the close of today’s week, the new week will start falling to 21-21.6K and then rise until the end of the week, forming a bullish flag.”

At the time of writing, the 50-day and 200-week moving averages are $22,370 and $22,690 respectively, with a spot price of $22,670.

1-day BTC/USD (Bitstamp) candlestick chart with 50-day moving average over 200 days. Source: Trading View

I continue, fellow trader and analyst Jibon. described the upcoming weekly close as “very, very important.” The attached chart highlights $21,944 and $22,401 as lines in the sand for a “bad” or “good” close.

Earlier this week, Gibon warned that such a “poor” result could be the start of a pullback to new macro lows for bitcoin – as low as $12,000 – whose continued strength could fuel a relief rally to $40,000.

Had it closed at current levels, BTC/USD would have recorded its highest levels since mid-June.

Weekly candlestick chart BTC/USD (Bitstamp). Source: Trading View

Ethereum and Cardano lead altcoins as ETH outflows rise

On altcoins, Ether (ETH) and Cardano (ADA) had outstanding performances over the weekend as both bounced back from lower levels.

Ethereum’s ‘cup and handle’ price pattern hints at potential breakout against Bitcoin

Hourly candlestick chart ETH/USD (Binance). Source: Trading View

ETH/USD returned to $1,600 on the day, while ADA/USD was also looking to challenge its $0.548 peak during the week, its best performance since June 12.

1-day ADA/USD candlestick chart (Binance). Source: Trading View

Analyzing the current environment, traders noted the value of Ethereum’s 2018 high of $1,530, a level that became long-term resistance and returned as resistance again in June.

Meanwhile, as the price action intensified, the outflow of ETH from major exchanges increased. July 22, according to the network analytics company CryptoQuantumthese flows totaled 1.87 million coins.

ETH outflow chart. Source: CryptoQuant

The views and opinions expressed here are solely those of the author and do not necessarily reflect those of Cryptooshala.com. Every investment and trading step involves risk, you should do your own research when making a decision.