Bitcoin has been in a downtrend for the past few weeks, however, the coin has started to show an uptrend over the past 48 hours. BTC was bullish as the coin finally broke through the crucial $40,000 resistance. It is seen trading above $41,000 at the time of writing.
The price fluctuations initially caused some minor handicaps in terms of buying pressure. But over the past two days, buying pressure has escalated.
BTC was in an uptrend on the 4-hour chart. If the bulls continue to push prices to the upside, BTC could challenge $42,000 soon. The currency could also move towards lower prices after it has been on the rise for a few days. The global cryptocurrency market cap reached $2.03 trillion after a positive change of 0.5% over the past 24 hours.
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Bitcoin Price Analysis: Four Hour Chart
Bitcoin is trading at $41,900 at the time of writing, over the past two hours, the coin is up 1.6%. In the past week, Bitcoin largely lost its value but regained some of its losses as the coin rallied in the past 48 hours. The immediate resistance of the coin stood at $42,000, with buying power steady, the price ceiling would be at $43,300.
A drop from this level means that Bitcoin will return to $40K, the price that the coin touched three times in the past week. With a fall of $40,000, the coin will trade near $38,700, after which the coin will drop to $37,700.
Bitcoin trading volume was lower compared to previous sessions. The last session closed in green which means that the currency was gaining bullish momentum.
Bitcoin registered buying power over the past 24 hours. Last week, buying pressure decreased significantly as the asset was briefly sold off. With bulls resurfacing, buyers are back in the market. Continued upward pressure could push BTC back into the overbought territory.
King coin also showed strength as the cool oscillator also showed a green signal bar. It’s too early to say if the currency will see a price pullback during the next and immediate trading sessions.
On the four-hour chart, the currency is positioned above the 20-SMA line. This means that the price momentum of the coin was being driven by the buyers in the market. Continued buying pressure will push the coin above the $43,000 mark.
MACD depicts market momentum and on the indicator, the currency is showing green histograms which is a sign of positive price action. The currency has also gone through a bullish cross on the four-hour chart, and all indicators are pointing to a continuation of the bullish trend at least during the spot sessions.
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Featured image from UnSplash, Charts from TradingView.com