Bitcoin has since Wednesday stalled under around $50,000. On the downside, immense support between $46,000 and $47,000 has ensured the bearish leg does not stretch further. Meanwhile, BTC has been pivotal at $50,000, unable to make progress above this critical level.
Bitcoin’s consolidation could culminate in a massive upswing
Since the breakdown on Wednesday, the flagship cryptocurrency has not recovered as investors desired. The tug of war at $50,000 neither favors the bulls nor the bears. Therefore, the pivotal trading action will most likely last longer.
The four-hour chart brings to light a double-bottom pattern, a highly bullish formation in technical analysis. It comes into the picture after an asset hits a lower price point a couple of times. Note that there is usually a moderate price peak between the bottoms.
The double-bottom pattern is usually confirmed when the asset bounces off the bottom support level and makes its way through the previous peak. Identification of crucial support and resistance levels helps to avoid failed double-bottom patterns.
BTC/USD four-hour chart
Meanwhile, it is essential to realize that a confirmed break above $50,000 will prove that recovery toward $60,000 has potential. Moreover, holding onto support at the double-bottom pattern is key to jumpstarting the uptrend.
Short-term technical indicators continue to send mixed signals, nonetheless. The Relative Strength Index (RSI) levels at 40, showing that sideways trading may take precedence.
On the other hand, the Moving Average Convergence Divergence (MACD) has a bearish impulse, implying that losses could continue in the near term.
Bitcoin intraday levels
Spot rate: $48,920
Trend: Bearish bias
Support: $47,000 and $46,000
Resistance: $50,000, $52,000 and $54,000
- OpenSea’s Meteoric Rise May Trigger An Ethereum Crash, Here’s Why
- Breaking: JPMorgan Closes Uniswap (UNI) Founder’s Accounts
- UBS Warns Of Apocalyptic Crypto Winter And The Cryptocurrency Prices Are Poised To Crash
- SOL Tanks 6% As Solana Faces Another 48 Hour Outage, Boom and Bust Moment for Solana?
- Fantom (FTM) Surpasses Avalanche and Solana as DeFi TVL Crosses $12 Billion
- Buy The Dip Survey Shows 61% Of Chinese Bitcoin Investors Still Willing To Bet On Bitcoin
- Mike Novogratz Bets To Pay Peter Schiff $1 M If Bitcoin Price Stays Below $35,000 After 2022
- “At Some Point There’ll Be A Flash Crash” Says Gold Bull Peter Schiff
- Binance And FTX Worst Hit Exchanges As Losses Climb Almost Two Billion Combined
- Bitcoin S2F Founder says Current dip cannot stop Bitcoin from Adding Another Zero
- Solana Creeps Higher, Looks To Revisit January Highs AT $177.0
- Ethereum Price Analysis: Fibonacci Retracement level 0.618 Triggers Recovery Rally In ETH Coin
- BTC Price Analysis: Death Crossover Brings Nightmares On Satoshi Street; Is This A Buying Opportunity?
- Bitcoin Death Cross Haunting Investors, Will BTC Make or Break?
- DOGE Price Analysis: Highly Influential Bearish Trendline Undermines Bullish Attempts; Buy, Sell Or Hold?
- Terra Price Analysis: Will LUNA Price Bounce Back at 0.382 Fibonacci Retracement?
- SAND Price Analysis: Sandbox Price Losses 50% Retracement Level, Good Time to Buy?
- LINK Price Analysis: Chainlink price reclaims 200-day EMA, Emerging trendline Suggests More Upward Price Movement
- Harmony Price Analysis: Rising Parallel Pattern Could Lead 30% Growth In $ONE Price
- Ripple Price Analysis: XRP Bears Struggle To Breach $0.7 Support Zone, Is A Reversal Next Move?