Bitcoin (BTC) is stabilizing after a 3% price drop, although the cryptocurrency is stuck in an intraday trading range. Overbought signals could keep some buyers on the sidelines.Read MoreFeedzy
The cryptocurrency has failed to break above resistance at $47,000 over the past few days, which indicates a loss of upside momentum. Still, lower support around $43,000 and $45,000 could stabilize the pullback.
BTC was trading around $46,000 at press time and is down 3% over the past week.
Momentum signals remain negative on the daily chart, similar to what occurred in early February. This time, however, bitcoin has broken above $43,000 with positive momentum on the weekly chart. That means buyers could remain active on pullbacks.
The relative strength index (RSI) on the daily chart is declining from overbought levels, similar to what occurred in October of last year. Still, overbought signals can persist for a few months before a significant downturn in price.
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