TL;DR Breakdown
- Bitcoin continues to maintain steady progression.
- We might witness a rally to the $50,000 price level.
- A downward slope is not imminent as Bitcoin is tipped to surpass the all time $58,000 market price.
It’s still good news for Bitcoin miners and investors as the cryptocurrency coin maintained a steady progressive movement after recovering from the previous low price of $43,000 to a whooping $49,551 just this morning. This rebound puts the market price further higher than yesterday’s $48,000 with a +1.40% increase as it trades when making this technical analysis.
According to Bitstamp, there had been a downward slope in the BTC curve since a week ago leaving the market vulnerable and BTC price shedding off a whopping 25%. A major correction as well as bold changes had seen Bitcoin brokering far under the proper ascending-price-channel as it had traded all through last month. Now, Bitcoin is taking a falling-wedge-pattern which can also be known as the textbook-bullish-formation. This falling-wedge-formation is quite evident with a 4-hour chart running on short term.
Bitcoin to break over $48,000 mark
Just along the pennant, bullish divergence signs and signals turned up on short term time frames. This also points to the 4-hour chart we made use of yesterday. Putting a close to the daily candles in the last 48 hours at the market price of $44,700, bullish-divergence turned out quite great in today’s chart.
Now, what does this mean? This means BTC will be able to breakthrough the wedge’s upper-boundary, go even higher and over the 4-hour 20-EMA, and finally soar over the $48,000 target or mark.
Thus, the right question anyone ought to be asking is if BTC will continue to soar even higher till it reaches the $50,000 psychological resistance-level. Better still, if the rise will continue and probably surpass the over all high price level of $58,000, which was just in February.
What to watch out for?
Key support levels: $47,200, $46,600, $44,750, $43,745, and it downwards.
Key resistance levels: $50,000, $52,500, $55,000, $56,112, and upwards.
The figure shows a downward trend of $47,200 (.382 Fib), $46,600 (4-hour’s EMA-20), $44,750, and $43,745 (.5 Fib).
The benchmark price of the asset would be at $50,000, $52,500 – the target of the wedge’s breakout, $55,000, and $56,112.
Note that daily RSI had moved towards the midline just like before, which showcased the dissipation of yesterday’s bearish-momentum. The RSI had now moved just over the midline on short term charts, showing how the short term bullish-momentum has finally appeared.
