Bitcoin price analysis: BTC recovery stalls on approach to $5,500
- BTC/USD managed to mar its way above $5,400.
- A strong growth above $5,5000 is needed for an extended recovery.
BItcoin (BTC) broke above $5,400 resistance and made its way towards the intraday high of $5,478, However, the recovery has stalled on approach to $5,500 resistance area strengthened by the upper boundary of a daily Bollinger Band.
BTC/USD has been growing steadily for the fourth day in a row, though it is still below April’s high $5,632. The coin has gained over 3% since this time on Thursday and 0ver 5% in recent seven days.
Looking technically, a sustainable move back inside the upside channel has improved the technical picture. The channel support (currently at $5,346) now serves as a strong barrier for Bitcoin bears that is likely to stop the short-term sell-off attempts.
However, once it is cleared, the downside momentum is likely to gain traction with the next focus on $5,250. This support area is created by a combination of SMA50 (4-hour chart) and the middle line of Bollinger Band (daily chart).
On the upside, we need to see a strong move above $5,500 handle to bring the recent high of $5,632 back into focus. The next resistance is located on approach to $5,900.
BTC/USD, 1-day chart
Author
Tanya Abrosimova
Independent Analyst
