Bitcoin holds support, testing $50k resistance

Bitcoin (BTC) buyers were active during Asia hours and defended support around the 200-day moving average. The cryptocurrency is testing initial resistance around $50,000 and is up about 5% over the past 24 hours. A breakout above current levels could yield further upside towards $55,000.

Bitcoin four-hour chart (CoinDesk, TradingView)

• The relative strength index (RSI) on the four-hour chart is approaching overbought territory, which typically precedes brief pullbacks similar to August 23 when buyers failed to break above $50,000 resistance.

• Initial support is seen at the 100-period moving average on the four-hour chart, currently around $47,800, which could stabilize a pullback.

• Upside momentum has faded over the past few weeks, although buyers are likely to defend lower support as bitcoin consolidates.