Technical Analysis – BTCUSD consolidates around 27,000
May 23, 2023 1:28 pm
BTCUSD (Bitcoin) has been generating a structure of lower highs and lower lows after peaking at the 10-month high of 31,064 in mid-April. Even though the king of cryptos managed to halt its decline and recoup some losses, any attempts for further advances have been repelled around the 27,500 mark.
The momentum indicators are reflecting a cautiously positive tone. Specifically, the stochastic oscillator is ascending steeply after posting a bullish cross, while the RSI has ticked up slightly below its 50-neural mark.
Should the price experience a bullish breakout above the 27,500 region, the 50-day simple moving average (SMA) at 28,300 could initially cap its upside. A violation of that zone may turn the spotlight to the crucial 30,000 psychological mark. Failing to halt there, the digital coin could ascend to challenge its recent 10-month high of 31,064.
Alternatively, bearish actions could send the price towards the May low of 27,585. Piercing through that wall, the bears might aim for the 25,250 resistance, which could serve as support in the future. Further retreats could then cease around the 21,375 hurdle.
Overall, BTCUSD has been stuck in a bearish pattern since mid-April, while its latest efforts for a recovery have been repeatedly hitting a wall around the 27,500 region. Thus, a clear break above the latter is needed to revive bulls’ hopes for a trend reversal.
BTCUSD (Bitcoin) has been generating a structure of lower highs and lower lows after peaking at the 10-month high of 31,064 in mid-April. Even though the king of cryptos managed to halt its decline and recoup some losses, any attempts for further advances have been repelled around the 27,500 mark.
The momentum indicators are reflecting a cautiously positive tone. Specifically, the stochastic oscillator is ascending steeply after posting a bullish cross, while the RSI has ticked up slightly below its 50-neural mark.
Should the price experience a bullish breakout above the 27,500 region, the 50-day simple moving average (SMA) at 28,300 could initially cap its upside. A violation of that zone may turn the spotlight to the crucial 30,000 psychological mark. Failing to halt there, the digital coin could ascend to challenge its recent 10-month high of 31,064.
Alternatively, bearish actions could send the price towards the May low of 27,585. Piercing through that wall, the bears might aim for the 25,250 resistance, which could serve as support in the future. Further retreats could then cease around the 21,375 hurdle.
Overall, BTCUSD has been stuck in a bearish pattern since mid-April, while its latest efforts for a recovery have been repeatedly hitting a wall around the 27,500 region. Thus, a clear break above the latter is needed to revive bulls’ hopes for a trend reversal.
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