Bitcoin Rebounds Above $30K; Resistance Seen at $34K

Crypto 7 21 2021 LearnCrypto Powered By Wyckoff SMI 2024

Bitcoin (BTC) returned above $30,000 support during Asia hours as buyers reacted to oversold conditions. The next level of resistance is seen around $32,000 and $34,000 given the intermediate-term downtrend.

The quick rebound above $30,000 is similar to the June 22 shakeout which preceded a brief price rally. Bitcoin was trading around $31,400 at press time and is up about 6% over the past 24-hours.

Screen Shot 2021 07 21 at 7.25.33 AM LearnCrypto Powered By Wyckoff SMI 2024
Bitcoin four-hour chart shows short-term support and resistance levels with RSI.
Source: TradingView
  • The relative strength index (RSI) on the four-hour chart registered an oversold signal on Monday as bitcoin dipped below $30,000. The RSI is not yet overbought, which could keep buyers active towards $34,000 resistance.
  • The 100-period moving average on the four-hour chart is sloping downwards as buyers have been quick to take profits on rallies.
  • Short-term momentum is improving as bitcoin returns to a month-long range. The rebound above $30,000 suggests selling pressure from June is starting to slow.

By: Damanick Dantes

 

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