--- title: "Bitcoin traders pinpoint support levels as BTC price taps $26.2K" url: https://diffcoin.com/bitcoin-traders-pinpoint-support-levels-as-btc-price-taps-26-2k/ description: "Bitcoin (BTC) recovered its weekly close losses on Aug. 28 as risk assets rose on China tax cuts.BTC/USD 1-hour chart. Source: TradingViewBTC price…" published: 2023-08-28 updated: 2023-08-28 author: "Mila" site: "Diffcoin" --- # Bitcoin traders pinpoint support levels as BTC price taps $26.2K Bitcoin (BTC) recovered its weekly close losses on Aug. 28 as risk assets rose on China tax cuts. *BTC/USD 1-hour chart. Source: TradingView* ## BTC price 200-week EMA stands out as support Data from Cointelegraph Markets Pro and TradingView followed a BTC price uptick into the day’s Wall Street open. BTC/USD managed $26,226, marking its highest levels since Aug. 25 and fully compensating for weakness seen overnight. News that China had cut tax on stock trading by 50% appeared to buoy U.S. futures into the open. The S&P 500 and Nasdaq Composite Index subsequently opened up 0.6% and 0.7%, respectively. > [$BTC](https://twitter.com/search?q=%24BTC&src=ctag&ref_src=twsrc%5Etfw) still in a 3 day composite but has shown signs of absorption below. I wish it was liquid enough like the ES or NQ to simply justify saying “Hold 26.1 and those singles at 26275 get cleaned up” > > Strong drive off the open for stocks. > > It’s Monday, so not looking to do anything… [pic.twitter.com/6ObqBLIx5z](https://t.co/6ObqBLIx5z) > > — HORSE (@TheFlowHorse) [August 28, 2023](https://twitter.com/TheFlowHorse/status/1696154782619050299?ref_src=twsrc%5Etfw) Eyeing the trading landscape for the coming week, Michaël van de Poppe, founder and CEO of trading firm Eight, flagged the 200-week exponential moving average (EMA) at around $25,700 as a key support zone to protect. “First of all, the 200-Week EMA lies beneath us. It’s at $25,650 (Bitstamp) or $24,750 (Binance). The conclusion is, you don’t want to drop beneath that level and you’d preferably want to mimic 2015-2016 sideways period,” he wrote in part of an [X post](https://twitter.com/CryptoMichNL/status/1696090930682475003/photo/1). > “If the 200-Week EMA sustains, conclusions are that we’re bottoming out here and we are potentially getting a massive entry point. If it’s lost, I’d be looking at a case of $19,500-21,500 as the next big entry point and final capitulation. On the lower timeframes and over the week, it’s still possible to sweep below the 200-Week EMA. As long as we don’t lose the level.” *BTC/USD annotated chart. Source: Michaël van de Poppe/X* Van de Poppe continued that order book liquidity “most likely” resided below the 200 EMA. “In that regard, a sweep of that area is the most likely outcome,” he wrote. > “Two strategies can be deployed: 1 – Sweep at $25,750 for an aggressive long entry towards the other side of the range (entry can only be taken after the sweep and when $25,750 is reclaimed). 2 – Sweep of $25,200 towards $24,700-25,000 (the 200-Week EMA on Binance) and bullish divergences on higher timeframes. That’s the golden trade and could be the start of a reversal. However, $25,750 should be reclaimed in the bounce, otherwise this trade could be invalid/stopped out.” *BTC/USD annotated chart. Source: Michaël van de Poppe/X* Popular trader Titan of Crypto meanwhile highlighted $25,900 as a prominent zone of interest. “$25,900 is the level to watch,” he summarized in part of X analysis. > [#Bitcoin](https://twitter.com/hashtag/Bitcoin?src=hash&ref_src=twsrc%5Etfw) $25,900 is the level to watch > > Kijun at $25.9k supported the [#BTC](https://twitter.com/hashtag/BTC?src=hash&ref_src=twsrc%5Etfw) price once more on the weekly timeframe. That’s the level to watch. > If it holds, I won’t be surprised to see a pullback to Tenkan at around $28.4k. [pic.twitter.com/VDcJQczDwc](https://t.co/VDcJQczDwc) > > — Titan of Crypto (@Washigorira) [August 28, 2023](https://twitter.com/Washigorira/status/1696101718008672543?ref_src=twsrc%5Etfw) ## Bitcoin RSI stays “very low” for second week Elsewhere, fellow trader Pheonix referenced persisting low levels on Bitcoin’s relative strength index (RSI) on lower timeframes. ***Related: September ‘crash’ to $22K? — 5 things to know in Bitcoin this week*** As Cointelegraph reported, depending on the timeframe in question, these reached levels not seen in five years after the 10% BTC price dip ten days ago. “RSI still very low, for 1.5 weeks already now,” part of X commentary on the day read. > “7/8 times it went below 25 the last years, corresponded to the (local) bottom & a 30% minimum rise followed.” Further analysis showed the one exception to the rule coming in September 2019. > [#Bitcoin](https://twitter.com/hashtag/Bitcoin?src=hash&ref_src=twsrc%5Etfw) RSI still very low, for 1.5 weeks already now > > 7/8 times it went below 25 the last years, corresponded to the (local) bottom & a 30% minimum rise followed > > Most often [$BTC](https://twitter.com/search?q=%24BTC&src=ctag&ref_src=twsrc%5Etfw) gained more % in value > > 1 fail: Sep ’19 > 4 local bottoms: Nov ’19, May ’21, Jan ’22 & June ’22… [pic.twitter.com/PA4nVJkdTB](https://t.co/PA4nVJkdTB) > > — Phoenix (@Phoenix_Ash3s) [August 28, 2023](https://twitter.com/Phoenix_Ash3s/status/1696143778325614975?ref_src=twsrc%5Etfw) RSI attempts to measure when an asset is overbought or oversold at a given price point. This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision. [Source link](https://cointelegraph.com/news/bitcoin-traders-support-levels-btc-price-taps-26)