Bitcoin price analysis: BTC/USD upside capped under 50 SMA, sideways trading continues
|- Bitcoin bullish and bear pressure cancel out as the price stays under $5,000.
- For a guaranteed movement to the upside, Bitcoin buyers must pull back above $5,000.
Since the retracement from the weekly highs around $5,343, BTC/USD has been unable to make significant movement above $5,000. Support was established at $4,800 before the price continued reversed the trend above the week-long rising trendline.
At the time of writing, Bitcoin is trading at $4,951. It is attempting to make corrections to the upside but bears seem to gain traction. The trend as observed using various technical indicators shows that bullish and bearish pressure are canceling out. The RSI 1-hour is ranging at 53.12 while the MACD in the same range is horizontal at 0.0.
For a guaranteed movement to the upside, Bitcoin buyers must pull back above $5,000. This means that they must clear the resistance at the 50 SMA 1-hour (slightly below $5,000). The key breakout position remains $5,200 while $5,343 is the medium-term resistance level.
The trendline on the 1-hour chart will continue to offer support in the coming sessions on Friday. We can expect Bitcoin to trade sideways below $5,000 and if it breaks below the trendline support, $4,800 will prevent further declines.
BTC/USD 1-hour chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.