Bitcoin rallies above $47k, resistance at $50k

Bitcoin (BTC) returned above $47,000 for the first time in two weeks, indicating strong demand from short-term buyers. The next level of resistance is seen at $50,000, where some profit taking occurred in early September.

Technical indicators show improving upside momentum on the daily chart, which is the first positive reading since July. This means the intermediate-term uptrend is stabilizing, albeit within a range of $40,000 support and $50,000 resistance.

• The relative strength index (RSI) is not yet overbought on the daily chart, which could keep buyers active over the short-term.

• On the weekly chart, the RSI is neutral, and upside momentum remains weak. This suggests a period of consolidation could persist below the $50,000-$55,000 resistance range.

• Buyers defended support around $40,000 over the past few days, which is also where a price breakout occurred on August 6. Further, BTC is back above the 200-day moving average, which provides an advantage for buyers aiming to return on pullbacks.