Bitcoin (BTC/USD) worked to add to its recent recovery higher early in the Asian session as the pair continues to orbit the 49361.87 area, representing a downside price objective related to selling pressure around the 57670.68 level below which significant Stops were elected during the recent sharp decline. Negative market sentiment pushed BTC/USD as low as the 42333 level late last week, representing the pair’s weakest print since early October. Selling pressure commenced around the 59114.84 level late last week and many Stops were elected below downside price objectives during the selling pressure, including the 56533, 56080, 55735, 54295, 54114, 53748, 53600, 53046, 52351, 51322, 51171, 50185, 49361, 47400, 47426, 44974, and 44667 levels. Traders are paying close attention to these areas as BTC/USD continues to recover higher, as they may become technical resistance.
If BTC/USD extends its recent weakness lower, additional downside price objectives include the 44974, 44667, 42333, 41252, 41053, and 35734 levels. Following the pair’s recent volatility, upside retracement levels and areas of potential technical resistance include the 50725.92, 52706.65, 55157.38, and 55526.67 areas. Traders are observing that the 50-bar MA (4-hourly) is bearishly indicating below the 100-bar MA (4-hourly) and below the 200-bar MA (4-hourly). Also, the 50-bar MA (hourly) is bearishly indicating below the 100-bar MA (hourly) and below the 200-bar MA (hourly).
Price activity is nearest the 50-bar MA (4-hourly) at 55252.45 and the 50-bar MA (Hourly) at 52419.92.
Technical Support is expected around 42151.91/ 38670.39/ 35734.12 with Stops expected below.
Technical Resistance is expected around 50725.92/ 52706.65/ 55157.38 with Stops expected above.
On 4-Hourly chart, SlowK is Bullishly above SlowD while MACD is Bearishly below MACDAverage.
On 60-minute chart, SlowK is Bullishly above SlowD while MACD is Bullishly above MACDAverage.
Disclaimer: This trading analysis is provided by a third party, and for informational purposes only. It does not reflect the views of Crypto Daily, nor is it intended to be used as legal, tax, investment, or financial advice.