Bitcoin Holding Support Above $42K; Resistance at $45K-$47K

Bitcoin (BTC) buyers are attempting to reverse a two month-long downtrend. The cryptocurrency declined by roughly 30% from an all-time high near $69,000 in November, and now technical indicators suggest the sell-off is starting to stabilize.

BTC was trading around $43,000 at the time of writing, and is up about 3% over the past week.

Support is seen around the $40,000 price level, which could limit pullbacks over the short term. Still, upside could be limited toward the $45,000-$47,000 resistance zone over the weekend.

The relative strength index (RSI) on the daily chart is rising from oversold levels, similar to what occurred in late-September, which preceded a price rally. This time, however, upside momentum is starting to wane on weekly and monthly charts, which lowers the chance of signifiant buying.

Read MoreCoinDesk

Bitcoin (BTC) buyers are attempting to reverse a two month-long downtrend. The cryptocurrency declined by roughly 30% from an all-time high near $69,000 in November, and now technical indicators suggest the sell-off is starting to stabilize.

BTC was trading around $43,000 at the time of writing, and is up about 3% over the past week.

Support is seen around the $40,000 price level, which could limit pullbacks over the short term. Still, upside could be limited toward the $45,000-$47,000 resistance zone over the weekend.

The relative strength index (RSI) on the daily chart is rising from oversold levels, similar to what occurred in late-September, which preceded a price rally. This time, however, upside momentum is starting to wane on weekly and monthly charts, which lowers the chance of signifiant buying.

Leave a Reply

Your email address will not be published. Required fields are marked *