Bitcoin (BTC) bulls are back in action, attempting to reclaim lost ground and push the price above the psychologically important $60,000 mark. After dipping into “oversold” territory according to the Relative Strength Index (RSI), a technical indicator that measures momentum, BTC has experienced a swift rebound in the Asia trading session.
Key Levels and Technical Signals:
Resistance at $60,000: While Bitcoin has climbed to nearly $59,460, a significant wall of sell orders seems to be concentrated around $60,000. Overcoming this resistance level will be crucial for further bullish momentum.
Bullish RSI Divergence: Analysts like Daan Crypto Trades identified a bullish divergence on the daily RSI chart, suggesting that the price might be ready to rise despite weak momentum readings.
Moving Averages: Currently, Bitcoin’s price is nestled between its 99-day and 200-day moving averages (MAs). Reclaiming the 200-day MA would be a significant technical victory for the bulls.
Macroeconomic Data and Price Impact:
Upcoming Data: Trader Justin Bennett emphasizes the importance of upcoming US economic data releases, such as the Consumer Price Index (CPI) and Producer Price Index (PPI). These reports could significantly impact Bitcoin’s price performance in the coming days.
The Battle for $60,000:
Despite the recent gains, uncertainty remains. While bullish signals are emerging, overcoming the concentrated sell orders at $60,000 will be a major hurdle. Additionally, the impact of upcoming macroeconomic data remains to be seen.
Overall, the next few days could be crucial for Bitcoin’s short-term direction. If bulls can successfully break through the $60,000 resistance and reclaim the 200-day MA, a more sustained rally could be in the cards. However, if bears manage to defend this level and the economic data turns negative, a renewed price decline might be possible.
Disclaimer: This information is for educational purposes only and should not be considered financial advice. Please conduct your own research before making any investment decisions.