HomeBitcoin NewsBitcoin Price Analysis: BTC Eyes Fresh Test of $50K

Bitcoin Price Analysis: BTC Eyes Fresh Test of $50K

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  • Bitcoin price started an upside correction from the $42,800 zone against the US Dollar.
  • The price is now trading above $47,000 and the 55 simple moving average (4-hours).
  • There was a break above a major declining channel with resistance near $46,550 on the 4-hours chart of the BTC/USD pair (data feed from Coinbase).
  • The pair must settle above $47,450 to continue higher towards $50,000 in the near term.

Bitcoin price is recovering higher above $47,000 against the US Dollar. BTC could extend gains if there is a clear break above the $48,000 level.

Bitcoin Price Analysis

Bitcoin price started a major decline from well above the $52,000 zone. BTC broke the $48,000 and $45,000 support levels to enter a bearish zone.

The price even spiked below $43,000 and traded as low as $42,830. Recently, the price started a fresh increase above the $45,000 resistance level. It cleared the 23.6% Fib retracement level of the main decline from the $52,944 swing high to $42,830 low.

There was also a break above a major declining channel with resistance near $46,550 on the 4-hours chart of the BTC/USD pair. The pair is now trading above $47,000 and the 55 simple moving average (4-hours).

On the upside, an initial resistance is near the $47,450 level. The first major resistance is near the $47,900 level or the 50% Fib retracement level of the main decline from the $52,944 swing high to $42,830 low. A close above the $48,000 zone is needed for a fresh increase. In the stated case, the price is likely to rise steadily towards the $5,000 level.

An immediate support on the downside is near the $47,000 level. The first key support is near the $46,500 level. If the price fails to stay above $46,500, it could revisit the $46,000 support zone. Any more losses could open the doors for a move towards the $45,000 support zone.

Bitcoin Price
Bitcoin Price

Looking at the chart, bitcoin price is clearly trading above $47,000 and the 55 simple moving average (4-hours). Overall, the price must settle above $47,450 to continue higher towards $50,000 in the near term.

Technical indicators

4 hours MACD – The MACD is now gaining momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI is now well above the 50 level.

Key Support Levels – $46,500 and $46,000.

Key Resistance Levels – $47,450, $48,000 and $50,000.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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