Bitcoin volatility continues as BTC price moves closer to critical weekly close

Bitcoin ( BTC ) briefly fell below $ 42,000 on September 25 as the weekend looked set to deliver an unimpressive weekly close. 1 hour BT...


Bitcoin (BTC) briefly fell below $ 42,000 on September 25 as the weekend looked set to deliver an unimpressive weekly close.

1 hour BTC / USD candle chart (Bitstamp). Source: TradingView

Trader: Bitcoin “fine” above $ 38,000

Data Cointelegraph Markets Pro and TradingView showed that BTC / USD was losing $ 1,000 in just over an hour on Saturday before rebounding.

The weekend had started with the pair at around $ 43,000 – a critical level some say should hold as the weekly close approaches.

Others argue that a price cut would also suit Bitcoin following Friday’s volatility, with $ 36,000 to $ 38,000 the cutoff point for bulls.

Among them is Michaël van de Poppe, collaborator of Cointelegraph.

“The critical level for Bitcoin is still the same, which is between $ 38,000 and $ 40,000, I would prefer the level to hold,” he said. Recount Twitter followers late Friday.

“If that happens, all is well.”

Among commentators, the story of China’s “ban” still dominated the debate, this string of the industry’s best-known names after a knee-jerk reaction from nervous traders that brought cryptocurrencies down.

Despite the chaos, nothing in China had really changed, the government reiterating its current position. Like Cointelegraph Noted, when the “ban” began in September 2017, Bitcoin conversely hit a new all-time high three months later.

“Nothing has created more wealth over the past decade than the technologies banned in China,” Michael Saylor, CEO of MicroStrategy, claims.

Jon Geenty, data scientist at analytics firm CoinMetrics, meanwhile produced a comparison chart showing Bitcoin’s performance after each Chinese “ban” story. Contrary to fears, BTC price action has in fact stabilized after such events.

Crypto market cap lines up broad new test of support

The outlook for altcoins remained bleak that day, thanks to Bitcoin doubling to lower levels.

Related: 24/9 Price Analysis: BTC, ETH, ADA, BNB, XRP, SOL, DOT, DOGE, AVAX, LUNA

Ether (ETH) was around $ 2,825, near the essential support level of $ 2,800 for bulls, while most of the top ten cryptocurrencies by market cap lost 6-7% on the day.

1 hour ETH / USD candle chart (Bitstamp). Source: TradingView

“Altcoin’s market capitalization is also at a crucial level here”, Van de Poppe warned, adding that the crypto’s total market cap could still see a “nice new test” of support at its weekly close.