Bullish view
Buy the BTC/USD pair and set a take-profit at 74,700.
Add a stop-loss at 64,000.
Timeline: 1-2 days.
Bearish view
Sell the BTC/USD pair and set a take-profit at 64,000.
Add a stop-loss at 74,700.
Bitcoin price remained steady above the key resistance level at $70,000 on Wednesday as the coin continued to see demand despite the ongoing war in Iran. The BTC/USD pair was trading at 70,100, up substantially from the year-to-date low of 60,000.
Bitcoin rose as energy prices retreated, with Brent and the West Texas Intermediate (WTI) dropped to $88 and $83, respectively. Oil prices eased after the International Energy Agency (IEA) proposed the largest release from strategic reserves to bring oil prices.
IEA member countries would release over 182 million barrels of oil to bring prices down in the near term. Falling oil prices are bullish for Bitcoin because it would lower inflation, which has remained elevated in the past few years.
Data shows that Bitcoin ETFs have continued to gain assets in the past few weeks. They have added over $735 million in inflows this month after four consecutive months of outflows. The funds shed $206 million in assets last month after losing $1.6 billion in January.
The next important catalyst for the BTC/USD pair will be statements on the war trajectory. There are signs that Donald Trump is looking for an off-ramp as the war has become highly unpopular in the United States..
However, most analysts believe that Iran is not ready to de-escalate, meaning that the war will continue in the foreseeable future.
The next key Bitcoin news will be the upcoming US consumer inflation report. Economists polled by Reuters expect the data to show that the headline Consumer Price Index (CPI) rose 2.4% in February, while the core figure rose 2.5%.
BTC/USD Technical Analysis
The daily timeframe chart shows that the BTC/USD pair has rebounded in the past few weeks, moving from the year-to-date low of 60,100 to the current 70,100.
It has formed an ascending triangle pattern, which often leads to more gains over time. The pair has flipped the Supertrend indicator from red to green.
Additionally, the Relative Strength Index (RSI) has moved from the oversold level of 16 to the current 51.
Therefore, the pair will likely continue rising in the coming days. If this happens, the next key target to watch will be at 74,700. A move above that level will point to more gains to 75,000.