Technical Analysis – BTCUSD recoups losses after slicing through 50-day SMA
May 4, 2023 10:25 am
BTCUSD (Bitcoin) has been gaining ground after it managed to jump back above its 50-day simple moving average (SMA). However, should this latest rebound fail to strengthen, the price would be on track to extend its structure of lower highs, which is a bearish technical signal.
The momentum indicators currently suggest that near-term risks are tilted to the upside. Specifically, the RSI jumped above its 50-neutral mark, while the stochastic oscillator is ascending after posting a bullish cross.
Should buyers reclaim the 30,000 psychological mark and push the price higher, the 10-month peak of 31,064 could serve as initial resistance. Surpassing this region, Bitcoin may challenge 31,852, which is the 50.0% Fibonacci retracement of the 48,226-15,479 downleg. An upside violation of that territory could set the stage for the 61.8% Fibo of 35,716.
On the flipside, if the price drops beneath its 50-day SMA, the 38.2% Fibo of 27,988 might curb further retreats. Should that floor collapse, the bears could aim for the April low of 26,945. Failing to halt there, the king of cryptocurrencies could descend towards the 23.6% Fibo of 23,207.
In brief, BTCUSD has been attempting a rebound in the past few daily sessions after finding support at the 50-day SMA. Nevertheless, a fresh higher high is needed to revive bulls’ hopes for a sustained uptrend.
BTCUSD (Bitcoin) has been gaining ground after it managed to jump back above its 50-day simple moving average (SMA). However, should this latest rebound fail to strengthen, the price would be on track to extend its structure of lower highs, which is a bearish technical signal.
The momentum indicators currently suggest that near-term risks are tilted to the upside. Specifically, the RSI jumped above its 50-neutral mark, while the stochastic oscillator is ascending after posting a bullish cross.
Should buyers reclaim the 30,000 psychological mark and push the price higher, the 10-month peak of 31,064 could serve as initial resistance. Surpassing this region, Bitcoin may challenge 31,852, which is the 50.0% Fibonacci retracement of the 48,226-15,479 downleg. An upside violation of that territory could set the stage for the 61.8% Fibo of 35,716.
On the flipside, if the price drops beneath its 50-day SMA, the 38.2% Fibo of 27,988 might curb further retreats. Should that floor collapse, the bears could aim for the April low of 26,945. Failing to halt there, the king of cryptocurrencies could descend towards the 23.6% Fibo of 23,207.
In brief, BTCUSD has been attempting a rebound in the past few daily sessions after finding support at the 50-day SMA. Nevertheless, a fresh higher high is needed to revive bulls’ hopes for a sustained uptrend.
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