Bitcoin price prediction: Bulls back in action after sharp correction to $47,000

Bitcoin price prediction Bulls back in action after sharp correction to

TL;DR Breakdown

  • Bitcoin price prediction passes through a turbulent phase as the price fluctuates
  • Zig-zag price action creating havoc below $50,000 support
  • Bulls and bears await confirmation in Bitcoin price prediction
  • BTC/USD oscillates between Bollinger Bands extremes
  • Bulls must conquer next resistance at $60,000 for fresh all-time highs\
Bitcoin price prediction: Bulls back in action after sharp correction to $47,000 1
Cryptocurrency heat map by Coin360

Bitcoin price prediction passes through a turbulent phase as the price moves away from the all-time high of $58,354. Earlier today, the price broke below the $50,000 support level in a sharp move that posted a large red candle on the charts. The BTC/USD pair went to $47,400 only to rebound in a quick bounce back which saw the price again touch $54,400 high.

The see-saw price action is hampering Bitcoin price prediction forcing traders to sit on the sidelines. Today’s movement saw the price go down by 5 percent from the opening value. As of now, the price is trading near the $54,465 region with an upward bias. The Bollinger Band’s upper channel, near $55,800, is the next target of the bulls.

The market cap of Bitcoin is still above $1 trillion, which means there’s enough liquidity in the market.

Bitcoin price movement in the last 24 hours: Bulls and bears fight it out

The past 24 hours have seen the volatility increase, and the price action took multiple u-turns. The bears challenged the ascending price channel as they built a selling pressure that saw the price plummet. The sharp decrease posted a day’s low of $47,400, where bulls sprang into action.

The price has been on an upward journey for the past two weeks, and the Bitcoin price prediction has been mature with little volatility. The abrupt red candle indicates that bears are looking for opportunities to take down the rising price channel. The ascending price channel is still intact on the daily charts. The rising wedge has seen the price oscillate within a tight range limiting the upside potential to a $55,000 resistance level.

Another massive breakout to the topside is possible only if the price takes down the $57,000 resistance with a solid breakthrough. The bearish divergence on the MACD indicator is not yet fully confirmed. Some more indicators have cooled down after the massive price rise from $40,000 to $58,000 level.

BTC/USD chart 4-hour chart: Bulls won’t let go easily

Bitcoin price prediction: Bulls back in action after sharp correction to $47,000 2
Bitcoin price chart by TradingView

Technically, the ascending price channel is still in play, and the bulls are in charge of the price action. Bitcoin price prediction is very much in the bullish territory because the downward breakout was not prolonged. The price correction did not last long, and the bulls used the lower price for more accumulation.

The Relative Strength Index has corrected from the overbought levels to reach 50 levels. MACD indicator also went through a brief crossover only to reverse the movement. The chart’s divergence shows that the bulls and bears are in a faceoff once again on the hourly charts. The Bollinger Bands stretched momentarily when the price went downwards. However, they have retraced back, and the price is currently in the middle of the bands.

The immediate support lies at $50,000 and then at $48,670. Bears will have to push the price down with massive volumes to break Friday’s ascending price channel. The Stochastic RSI is showing a trend reversal in the hourly charts. The 50-day SMA at $51,900 is helping the bulls maintain upward momentum. Alternatively, the upper resistance lies at $58,500 and then at $60,000. Both these levels will help cap the upside in the near-term.

Bitcoin price prediction conclusion: Battle between bulls and bears intensifies

The bullish overtone in the market is overwhelming, and the bears can use a contrarian trade opportunity. The fall from $58,354 has been swift. At the same time, bulls have shown that the downturns will be used as a buying opportunity. The profit booking phenomenon can take the price down towards $50,000 again if the bears intensify the selling pressure.

Historically, the month of March has not been overly bullish, but exceptions are there. Bitcoin price prediction has been following an upward trajectory till now. The current price action will indeed nullify the bullish movement if the selling action takes the price down below $45,000 on the daily charts.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Gurpreet Thind

Gurpreet Thind

Gurpreet Thind is pursuing Masters in Electrical Engineering at University of Ottawa. His scholarly interests include IT, computer languages and cryptocurrencies. With a special interest in blockchain powered architectures, he seeks to explore the societal impact of digital currencies as finance of the future. He is passionate about learning new languages, cultures and social media.

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