Bitcoin Price Prediction: These two crucial levels could define BTC future

  • Bitcoin’s upside capped by the 50 SMA on the four-hour chart, delaying upswing past $60,000.
  • BTC’s short-term technical levels have started to improve, including the MACD.
  • The 100 SMA support must be defended to avert potential declines toward $50,000.

Bitcoin exchanges hands slightly under $58,000 at the time of writing. Recovery from this week’s drop to 55,400 has failed to break past the immediate resistance provided by the 50 Simple Moving Average.

Despite the short-term hurdle, Bitcoin bulls are persistently pushing for gains above the coveted $60,000. Meanwhile, the Moving Average Convergence Divergence (MACD) indicator conveys a bullish signal, implying that the slightest resistance path could be north.

It is worth mentioning that the MACD allows traders to identify positions to buy the dip and sell the top. When the fast MACD (main) line passes over the slow line, it insinuates that the market has gradually begun to flip bullish. On the other hand, if the mainline crosses under the slow line, we can expect bears to start taking control.

Therefore, the MACD on the four-hour chart clearly shows that Bitcoin is moving toward the bullish camp and the situation may improve in the coming sessions. Note that trading beyond the 100 SMA is critical to sustaining the uptrend.

BTC/USD four-hour chart

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BTC/USD price chart BTC/USD price chart by Tradingview

The 100 SMA remains key to the flagship cryptocurrency’s uptrend. The drop to $55,400 occurred after BTC lost this support area. In other words, this support level must be guarded at all costs; otherwise, losses may extend to the recently confirmed buyer congestion zone ($55,400). If push comes to shove, Bitcoin is likely to slump back to $50,000. Here, bulls will plan the next mission to hit highs as far as $70,000.

Bitcoin intraday levels

Spot rate: $57,960

Trend: Bullish bias

Volatility: Low

Support: 100 SMA, $55,400 and $54,000

Resistance: $58,000, $60,000 and $62,000

The post Bitcoin Price Prediction: These two crucial levels could define BTC future appeared first on Coingape.

Publication date: 
04/09/2021 - 06:51
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Disclaimer

The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.