The toll of Bitcoin (BTC) has seen a relatively stable week, as BTC/USD has been hovering between $6,000 and $7,300.

However, due to the low volatility, the volume also diminished, which is a sign of a big move in the works. What can be expected of the markets while the coronavirus pandemic is taking a cost on the global economy?

Crypto market daily performance. Source: Coin360

Crypto marketplace daily performance. Source: Coin360

Bitcoin hovering against crucial resistance for bullish momentum

The price of Bitcoin is hovering against the crucial resistance for bullish momentum. A clean break above the resistance of $6,900-7,100 would signal bullish momentum, which opens the door to $8K.

BTC USD 1-day chart. Source: TradingView

BTC USD 1-day chart. Source: TradingView

The reasoning behind this thought is quite clear. Bitcoin has seen a massive retracement in the by few weeks, later which the toll slowly started to move upwardly, as it's upwards almost 100% since the recent depression of $3,750.

However, no level has been claimed for back up once again, which is a crucial ingredient in becoming bullish. The toll of Bitcoin needs to claim old support levels to flip levels from resistance to support and to generate a further optimistic outlook for the marketplace.

Price of Bitcoin also fighting 100-Week MA

BLX 1-week chart. Source: TradingView

BLX 1-calendar week chart. Source: TradingView

The higher time frame charts are the charts to watch at this bespeak, as they provide massive support and resistance levels.

The weekly chart is 1 of those charts, as the 100, 200 and 300-moving averages show significant support and resistance levels.

Currently, the cost of Bitcoin bounced from the 300-Week MA, airtight above the 200-Calendar week MA, and rejected at the 100-Week MA. The latter, the 100-Week MA, is a crucial factor to sentinel for if the market wants to plough bull.

An apparent breakthrough of the $6,900 level (equally that's the level around the 100-Week MA) would mean that the marketplace regains this moving average as support. A conclusion can exist fatigued that a balderdash marketplace has started if that moving average can go support.

However, losing the 200-Week MA (which is around $5,400), would generally lead to a further drop to the $iv,000 area, which is around the 300-Week MA. Such a drop would inevitably effect in a menstruation of accumulation as witnessed in previous cycles.

An accumulation and sideways period wouldn't exist strange in the current economical climate surrounding the coronavirus. All the same, if Bitcoin tin reclaim the 100-Calendar week MA and plow bullish, and then that would be a major balderdash marketplace signal.

Total market capitalization also fighting crucial resistance

Total market capitalization cryptocurrency 1-week chart. Source: TradingView

Total market capitalization cryptocurrency 1-week nautical chart. Source: TradingView

The total market place capitalization of cryptocurrencies is showing a clear view. A break and a close in a higher place the $185-190 billion resistance level would suggest a bull market and put the $240 and $300 billion resistance levels in sight.

Nonetheless, if the market place goes into the red next week, a further downwards test could besides occur in the total market capitalization nautical chart.

The levels to watch for are the $130 and $105-115 billion regions. As discussed previously in the article, the 300-Week MA could serve as major support.

This moving boilerplate is lying around $117 billion as we speak, confluent with the support levels lying below the markets. If the market place decides to autumn farther, this level is the principal expanse to look for.

The bullish scenario for Bitcoin

BTC USD 6-hour bullish chart. Source: TradingView

BTC USD 6-hour bullish chart. Source: TradingView

The bullish scenario for Bitcoin is at present pretty straightforward. The chart is showing a clear downwards pointing trendline, which needs to be broken to the upside for a bullish outlook.

Therefore, Bitcoin has to remain above $6,300-6,400 for back up every bit the first step, after which the side by side massive step would be to generate a breakout to the upside.

The moment that Bitcoin decides to pause through the $6,900-7,100 resistance level, a dark-green $700-1,000 candle may exist expected, as it's pretty much open-air until the major adjacent resistance level at $7,800-8,000.

The terminal stride for a massively bullish outlook would exist to flip the $half-dozen,900-vii,100 for back up. If that happens, further upwards momentum can exist expected with targets at $viii,500, $9,300 and $10,400 after that.

For at present, a breakout above the current resistance level would be a great signal.

The bearish scenario for Bitcoin

BTC USD 6-hour bearish chart. Source: TradingView

BTC USD 6-60 minutes bearish nautical chart. Source: TradingView

The bearish outlook is still probable given the current economical instabilities and Bitcoin price trend, which can be said is in a rising wedge inside a general downtrend.

Given that the volume is decreasing in the recent movements, a big movement is to exist expected from the markets. Combining everything alongside the resistances, a downwards movement is the most likely to occur.

Therefore, if the cost of Bitcoin can't break above $6,900-7,100 (red zone), a driblet towards $5,600-v,800 is to exist expected. The movements to watch for traders then are the support/resistance flips in continuation.

If the price of Bitcoin drops to $5,600 and the bounce gets rejected instantly at $6,300, and so further downward momentum should exist expected.

The views and opinions expressed here are solely those of the author and exercise non necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.