Bitcoin Price Sits In Range With Sharp Moves, $50K Is The Key
Bitcoin price is currently trading in a major range, with recent sharp moves indicating a potential breakout either to the upside or downside. The key level to watch is $50,000, as a move below this support zone could signal a bearish turn in the short term.
In recent trading sessions, Bitcoin made multiple attempts to break above the $52,200 resistance zone, but was unable to sustain gains. The cryptocurrency even spiked above $52,800, reaching a new multi-week high of $52,991, before facing selling pressure near the $53,000 level.
Following the failed attempts to break higher, Bitcoin price dipped towards the $50,500 support zone. A low was formed at $50,663 before the digital currency started to show signs of another potential rally. It managed to climb above the $51,600 level and the 50% Fibonacci retracement level of the downward move from the swing high of $52,991 to the recent low of $50,663.
However, Bitcoin is currently trading below the $52,400 resistance zone and the 100 hourly Simple moving average. On the hourly chart of the BTC/USD pair, a bearish trend line is forming with resistance at $52,300.
If Bitcoin fails to overcome the $52,400 resistance, it could experience another decline in the near term. Immediate support is seen at the $51,600 level, followed by the $51,200 support. A close below the $51,200 level could lead to further bearish momentum and a potential drop towards the $50,500 support zone.
In terms of technical indicators, the hourly MACD is showing increasing bearish momentum, while the RSI (Relative Strength Index) for BTC/USD is currently above the 50 level.
In summary, Bitcoin price is currently stuck in a range, with $50,000 acting as a crucial support level. The next major move will depend on whether Bitcoin can break above the $52,400 resistance zone or if it will face another decline towards the $50,500 support. Traders and investors should closely monitor these key levels for further insights into the direction of Bitcoin’s price movement.
Analyst comment
As an analyst, the market is uncertain and could go either way. Bitcoin’s price is currently trading within a range, with $50,000 being a crucial support level. The next major move will depend on whether Bitcoin can break above the $52,400 resistance or if it will face another decline towards the $50,500 support. Traders and investors should closely monitor these key levels for further insights on Bitcoin’s price movement.
