• Bitcoin settles above $3,700 after Wednesday's growth.
  • The RSI points to the continuation of the rally.

Bitcoin spiked to $3,923 on Wednesday, for the first time since December 4. While the gains proved to be unsustainable, the coin continues trading with an upside bias as the recent 16% rally of Bitcoin revived optimism on the market. BTC/USD is changing hands at $3,742 at the time of writing, 1.5% higher both on a day-to-day basis and since the beginning of Thursday.

BTC/USD, the technical picture

On the 4-hour chart, BTC/USD is trading above the upper border of a short-term downside channel. Now it serves as a local support area created at $3,670. Once below, the sell-off may be extended towards SMA100 (currently at $3,600). This barrier is likely to serve as an entry point for short-term bulls. However, a sustainable movement lower will darken Bitcoin's technical picture and potentially push the price to $3,500. SMA50 creates the ultimate intraday support at $3,384.

On the upside, we still need to see a sustainable move above $3,800. It will open up the way towards Wednesday's high at $3,923 and to the critical $4,000. Considering that the Relative Strength Index is reversing to the upside, further recovery towards the above-said goals looks likely; however, we will need a strong catalyst to drive the price above psychological $4,000 barrier.

BTC/USD, 4-hour chart

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Breaking: Bitcoin breaks new yearly highs; the road to $15,000 is clear

Bitcoin (BTC) broke above the local resistance created by $13,250 and hit a new high of 2020 at $13,490. The pioneer digital asset is poised for further growth as the upside momentum gains traction amid little resistance from sellers.

More Bitcoin News

XRP looks poised for a breakout to $0.30

XRP is currently trading at $0.252 after successfully defending a critical support level at $0.247. In the past two weeks, the digital asset has been rejected from the upper boundary of the daily ascending triangle around ten times.

More Ripple News

Breaking: JPMorgan's digital currency, JPM Coin, is ready for commercial use

JPMorgan Chase announced that its digital currency, JPM Coin, had been used for commercial purposes this week. A large technology client used it to send cross-border payments.

More Cryptocurrencies News

The network’s utility increases, while TRX prepares for a massive price movement

TRON's weekly report is out and talks about the finalization of the TRC-20 shielded contract on the mainnet and a security test for the smart contract on TVM instructions to stake and unstake.

More Tron News

BEST CRYPTO BROKERS/EXCHANGES




Bitcoin Weekly Forecast: Bitcoin goes up as some of the world's largest currencies go down

While investors are waiting for BTC to retest all-time highs and shoot to the moon, it is already there. In some countries, the pioneer digital asset surpassed the peak of 2017 and hit new historic highs in local currencies.

Read the weekly forecast

BTC

ETH

XRP