BTC coin price sustains above the $40K mark thanks to the support trendline and ascends to the next barrier at $45K. Should you buy back into this rally?
Key technical points:
- BTC prices trade under all the crucial EMAs.
- The coin price jumped 4% in the last 48 hours.
- Finally, the 24-hour trading volume of Bitcoin is $27.26 Billion, marking a 20% fall.
Past Performance of BTC
BTC coin price fell by 17% within two weeks resulting in a fortnight causing a retracement to the long-coming support trendline. However, to the sellers’ surprise, the buyers reversed the trend with two consecutive bullish candles resulting in an upside resonance within the triangle pattern. Hence, buyers withhold the $40K barrier and avoid a downfall with the bullish reversal.
BTC Technical Analysis
BTC coin price forms a morning star-like pattern to reverse from the support trendline without any notable increase in trading volume. Nonetheless, presuming the trend surpasses all the crucial EMAs, the uptrend eyes a 6.5% rise to test the resistance trendline. The bearish alignment of the crucial daily EMAs bends them to take the role of dynamic resistance. Moreover, the 50 and 100-day EMA maintains a sideways trend within the triangle threatening the early reversal possibility. RSI Indicator: The RSI slope shows a bullish reversal from the oversold boundary, avoiding a drop below the 30% mark and retracing to cross the 14-day SMA. However, the past few dips on the support trendline highlight a bearish divergence, proposing a potential fallout. MACD Indicator: The fast and slow lines reflect a gradual reversal below the zero line as the intensity of bearish histograms decreases. Hence, the indicator projects a high likelihood of a bullish crossover. In a nutshell, the BTC technical analysis highlights the uptrend possibility within the symmetrical triangle.
The BTC/USD price chart shows the bulls are attempting to undermine the downfall observed in the previous weeks with a reversal to $45K. First, however, the uptrend must surpass the bearish influence of the 50 and 100-day EMA to reach the confluence of $45K and the 200-day EMA. Support Levels: $40K and $37K Resistance Levels: $42K and $45K