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Bitcoin Price Analysis: BTC to reclaim $60,000 as liftoff to $65,000 catches momentum


coingape.com 10 May 2021 07:25, UTC
Reading time: ~2 m

Bitcoin has over the weekend session brushed shoulders with $60,000. The uptrend occurred alongside crypto assets like Ethereum, which stepped above $4,000 for the first time in history. At the time of writing, the flagship cryptocurrency trades at $59,500 following an ongoing upswing from the support at $56,000.

Bitcoin draws nigh to $60,000

Last week we discussed the Relative Strength Index (RSI) having a bearish divergence. Note that the bearish impulse comes into the picture when the RSI breaks away from the asset’s price. In other words, as the price increases, the RSI drops appreciably.

The technical formation implies that the uptrend is losing momentum amid reducing volume. A breakdown tends to follow reminiscent of Bitcoin’s drop to $56,000. At the time of writing, the RSI has broken the negative divergence, confirming that the trend has turned bullish.

A continued movement into the overbought region will prove to investors that the uptrend is intact, and therefore, it is probable to speculate BTC’s rise to $65,000.

BTC/USD four-hour chart

BTC/USD price chart

Meanwhile, Bitcoin must make one last break above $60,000 to affirm the breakout. On the brighter side, the Moving Average Convergence Divergence (MACD) shows that buyers have the upper hand.

The trend will keep leaning on the bullish side as long as the MACD line (blue) crosses and maintains a position above the signal line. On the downside, support has been established at $58,000, the confluence made by the 50 Simple Moving Average (SMA) and the 100 SMA as well as $56,000.

Bitcoin intraday levels

Spot rate: $59,450

Trend: Bullish

Volatility: Low

Support: $58,000, $56,000 and $53,000

Resistance: $60,000 and $62,000

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