Bitcoin (BTC) returned above $40K as buyers reacted to short-term oversold signals. The cryptocurrency remains in a two-month long trading range between $37K support and $47K resistance, which could limit additional upside.Read MoreFeedzy
BTC is roughly flat over the past 24 hours and down 12% over the past week. For now, technical indicators suggest the pullback could stabilize over the next few days.
The relative strength index (RSI) on the daily chart is near oversold levels, which means buyers could remain active heading into the Asia trading day. Further, positive momentum signals on the weekly chart suggests pullbacks will remain brief this month.
Stronger resistance is seen at $50,966, which could limit an upswing in price.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.