Bitcoin recovering, faces short-term resistance near $46K
Bitcoin (BTC) is recovering above the $40,000-$42,000 support zone after oversold signals appeared on the charts. Initial resistance is seen around $46,000, which could limit further upside over the short-term.
BTC was trading around $43,700 at press time and is up 4% over the past 24 hours.
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The relative strength index (RSI) on the four-hour chart is rising from oversold levels that appeared earlier this week. The RSI is not yet overbought, which could keep buyers active, albeit limited towards $46,000 resistance.
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On the daily chart, however, the RSI is approaching neutral levels, which suggests further consolidation is needed to recapture upside momentum.
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Resistance remains strong towards $50,000 as bitcoin registered a series of lower price highs over the past two weeks.
Bitcoin four-hour price chart (CoinDesk, TradingView)
Author
CoinDesk Analysis Team
CoinDesk
CoinDesk is the media platform for the next generation of investors exploring how cryptocurrencies and digital assets are contributing to the evolution of the global financial system.
