6 bullish signals for BTC after the non-event of the Fed
Bitcoin (BTC) can still reach $13,000 and more after a series of non-events that still leaves the bullish in a favorable position.
On August 28th, Coin360 and Cointelegraph Markets data reported the movement of BTC/USD to around $11,500, while one analyst said this level is crucial for continued growth.
Crypto Markets Daily Overview, August 28th
BTC: a closure above $11,500 extends the „bullish reaccumulation“.
In an update published Friday on his Telegram channel, trader Filbfilb explained that he is still long on BTC, despite the volatility of the previous day.
„In the context of the weekly chart, $11,000 seems to hold up as support, but a close above the $11,500 fundamental support/resistance level would be the immediate goal to remain relatively confident in the idea of bullish reaccumulation,“ he summarized.
This concept has some pretty high targets: the monthly pivot at around $12,925 and the monthly resistance dating back to 2019 which saw Bitcoin hit $13,870.
Anyway, the signals are positive, and Filbfilb has cleared the doubts about the Fed’s inflation speech and other pseudo-lower factors for Bitcoin.
„Yesterday I stayed long for some main reasons,“ he explained.
„Negative premium on futures, no closing down lows, panicked Twitter crypto and $9,000 forecast, no break in general support, plus the gold and silver price action, to which we are strongly correlated with virtually every tick, rebounded ahead of BTC which continued to fall“.
Filbfilb described the Fed’s speech as a „non-event,“ which seems to have already been discounted by the markets.
Future deadlines and „maximum pain“
In the short term, only the expiry of the futures contracts on Friday could cause a period of volatility opposite to the general upward trend.
„Today we are closing August futures, which could lead to volatility in the afternoon, so watch out for movements in the coming hours,“ added Filbfilb.
Historically, the settlement dates of futures contracts have added bearish pressure on Bitcoin Up prices, although recent option expirations have not been able to move the market, despite the great expectation of volatility.
In a tweet, the Deribit derivatives platform confirmed that 50,900 BTC ($580 million) and 291,000 Ether ($113.5 million) in open interest expire on Friday. A price between $11,000 and $11,500 represents the „maximum pain“ for option traders, as it corresponds to the area where options have the lowest intrinsic value.
This flow is quite contrary to the one observed recently, suggesting a certain nervousness about the options assets.
Meanwhile, the „gaps“ in futures contracts are the focus of attention for price bets between traders and investors. A „gap“ is formed when a futures trading session starts at a different point from the one where the previous session ended. Typically, Bitcoin tends to move to „fill“ the resulting gap.
As reported by Cointelegraph, a gap of less than $9,700 and a smaller one at $16,000 (although formed several years ago) are likely areas of interest to traders.