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Bitcoin price tests resistance at $43,000 zone, strong accumulation in this zone to start the uptrend

The bulls took the initiative, and the majority of the top 10 cryptocurrencies by market recorded gains. However, that was yesterday’s story. At the moment, after rallying to $45,000, Bitcoin price has dropped 2%, returning to the $43,000 zone. This is also good news, showing that BTC is likely to accumulate heavily in this area and gradually return to its previous highs.

bitcoin-price-tests-resistance-at-43000-zone-strong-accumulation-in-this-zone-to-start-the-uptrend

BTC/USD 4-hour chart | Source: TradingView

Bitcoin price tests resistance near $43,000 after breaking free of prior range

On the hourly chart, Bitcoin price is attempting to fix above the $45,000 mark as trading volume decreases. However, there is little chance of getting there today as the market-leading cryptocurrency has lost its momentum.

In this case, one can expect a retest of the $43,000 level. The reduced buying volume confirms that the bulls need more energy to sustain the upward momentum.

BTC finished the day at $42,608.54, and then it closed at $44,095.74. Now that the leading cryptocurrency has freed itself from the range it held for more than two months, and it is working to clear sell orders close to $45,000. Multiple technical analysts have stated that if it breaks through these obstacles, $50,000 will be the next level to watch.

However, should it fall back, it would test resistance at $43,000 and then $42,000.

Meanwhile, closely followed on-chain analyst Will Clemente, Bitcoin’s 200-day moving average will play a crucial role ahead and could act as a signal for big money players who have their eyes on BTC.

“I think there’s really nothing but the air here until about $48,000, but I think the 200-day moving average is going to give a bit of resistance, and that’s around $45,000 right now. I’ll be looking for that, but I’m targeting right now $49,000-$50,000 and seeing how we’re going to react there. I think it will perhaps play out there over the coming weeks,” he stated.

After a week of surveying the market at the “Neutral” index to strengthen the market’s confidence, the Fear and Greed Index also reached the threshold of 65, equivalent to “Greed” after many months of maintaining at the short level.

bitcoin-price-tests-resistance-at-43000-zone-strong-accumulation-in-this-zone-to-start-the-uptrend[1]

Crypto Fear & Greed Index as of August 9 | Source: Alternative.me

The Fear and Greed Index is a popular metric that follows several aspects within the cryptocurrency community to determine the general feelings towards BTC and other digital assets. More precisely, those factors include surveys, social media comments, volatility, and volume.

It’s no secret that the cryptocurrency market runs on sentiment — which is just another word for emotions. When the index shows ‘extreme fear,’ it signifies that investors are worried. For those who are looking to ‘buy the dip,’ this can be an opportunity. Alternatively, when the index shows ‘extreme greed,’ it indicates that the market is due for a correction.

The entire crypto market also fell with BTC. In it, ETH has fallen below $3,000 but still recorded a 15% increase in the past seven days. Dogecoin price is also down 7% on the day, to the $0.24 zone.

The cumulative market capitalization of all cryptocurrency assets has gone for a near three-month record and $1.748 trillion.

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