Bitcoin price analysis: BTC/USD locked in a range unfazed by a positive buzz from crypto experts
|- BTC/USD is rangebound after sell-off in the end of the previous week.
- The long-term picture remains positive.
Bitcoin has been locked in a tight range since the beginning of the week. The first digital coin has been oscillating between $5,200 and $5,100 levels with occasional and short-lived ventures outside the range. At the time of writing, one Bitcoin goes for $5,139 amid shrinking volatility.
Meanwhile, many cryptocurrency experts, including the head of Fundstrat Tom Lee, wait for an extended recovery as the crypto winter is over. To prove his point, he defined 11 signals that usually take place in a bull market.
Bitcoin has grown by 50% in recent three months and gained 40% since the beginning of the year which may be interpreted as a bullish sigh in the long run.
However, the short-term picture is less inspiring at this stage as the first digital asset is locked in a tight range with the initial resistance seen at $5,200. Once this hurdle is out of the way, the recovery may be extended towards $5,250. This resistance is created by SMA100 (4-hour) and the broken upside channel support. Meanwhile, the ultimate barrier comes at $5,300 with SMA50 (4-hour) on approach. A sustainable move higher is needed to make sure that BTTC is out of the woods.
On the downside, keep an eye on $5,100-$5,070 area as it separates the coin from the psychological $5,000. This barrier is likely to attract buyers and stop the sell-off. However, if it is broken, the downside movement will gain traction with the next focus on $4,800.
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