Bitcoin Stabilizes Near Support; Resistance Around $56K-$58K

Bitcoin 6 17 2019 3 LearnCrypto Powered By Wyckoff SMI 2024

Bitcoin (BTC) has fully recovered from Thursday’s price drop of almost 5%.

The cryptocurrency was trading around $54,000 at the time of writing after holding support at around $52,000. The short-term trend is improving, although there is strong resistance around $56,000 and $58,000 that could limit upside into the weekend.

  • The relative strength index (RSI) on the hourly chart is not yet overbought, which could keep buyers active short-term.
  • Bitcoin will need to show a decisive break above $56,000 to continue the long-term uptrend. So far, oversold signals from the April 25 low of around $47,000 wasn’t enough to push BTC above the 50-day moving average.
  • BTC is down about 7% month-to-date and is on track for its first monthly loss this year, also its worst month since September.
Screen Shot 2021 04 30 at 7.21.57 AM LearnCrypto Powered By Wyckoff SMI 2024
Hourly BTC chart shows support and resistance levels with RSI.
Source: TradingView

Correction (13:37 UTC, April 30, 2021): This story has been corrected to show that bitcoin is headed for its worst monthly performance since September, and its first monthly loss in 2021. An earlier version of the story incorrectly stated that it was the worst month since January.

By: Damanick Dantes

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