Bitcoin Takes Bold Steps above $50,000 as Bitcoin Resumes Upside Momentum– August 20, 2021
BTC/USD has broken above the $48,000 resistance as Bitcoin resumes upside momentum. A rally above the $50,000 psychological price level is expected if the current bullish momentum is sustained. However, if the $48,000 support holds, the current upside momentum will continue.
Resistance Levels: $4,000, $46,000, $47,000
Support Levels: $40,000, $39,000, $38,000
Bitcoin bulls have broken the $48,000 overhead resistance as Bitcoin resumes upside momentum. Buyers have earlier cleared the resistance zones between $30,000 and $42,451. Buyers have the opportunity to resume upside momentum. The current bullish momentum will rally above $50,000. However, buyers are likely to face stiff resistance at the $51,000 high. BTC/USD has rallied to $49,400 at the time of writing. Presently, Bitcoin is retracing from the recent high of $49,400. On the downside, if price retraces and breaks below the $48,000 support, the BTC price will fall to the previous breakout level of $42,000. Further rejection at the breakout level will catapult the coin to the previous range bound zones. Conversely, if the $48,000 support holds, the recent rallies will continue on the upside.
Bitcoin (BTC) Indicator Reading
BTC price is at level 67 of the Relative Strength Index period 14. It indicates that Bitcoin is approaching the overbought region of the market. It implies that Bitcoin has not enough room to rally on the upside. BTC price bars are always above the 21-day and 50-day SMAs which suggest that Bitcoin will rise. Also, Bitcoin is above the 80% range of the daily Stochastic. It indicates that the crypto is trading in the overbought region. The bullish momentum is likely to subside as sellers will emerge in the overbought region.
Meanwhile, BTC’s price was consolidating below $47,319 as Bitcoin resumes upside momentum. The bullish momentum extended to the high of $49,400. Buyers could not extend the bullish momentum above the $50,000 high.BTC price is retracing below the recent high. The market has retraced to $49,070 support and but below the $50,000 psychological price level.
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Author: Azeez Mustapha