Bitcoin price analysis: BTC tries to claw back ground above $3,900
- BTC/USD stays marginally above $3,900.
- Intraday RSI implies further recovery towards channel resistance.
Bitcoin (BTC) stays above the channel support at $3,900 during early Asian hours; it seems that the market is not ready for a decisive bearish breakthrough as yet. Actually, it is not ready to any breakthrough, confined to a rangebound trading.
Looking technically, BTC/USD recovered to $3,920 after a short-lived collapse below $3,900 handle late on Monday. The price touched $3,858 low before new buyers popped in and saved the day. However, we still need to return above $3,930 to improve the short-term technical picture. This resistance area is strengthened by SMA100 on 4-hour chart. Once it is cleared, the recovery may be extended towards $3,950 (SMA 1-hour) and $3,970 (SMA100 1-hour and SMA50 4-hour).
On the downside, initial support comes at $3,900. It is followed by SMA200 (4-hour) at $3,890 and the recent low of $3,858. Revisiting the area under $3,900, the coin will spoil the short0term technical picture and set the stage for an extended decline towards the previous range channel support at $3,800.
Considering slightly upward-looking RSI on intraday charts, there is a glimpse of hope for further recovery away from dangerous support levels.
BTC/USD, 4-hour chart
Author
Tanya Abrosimova
Independent Analyst
