Bitcoin has gone down nearly 6.6% in the past few days.
Now, the $54,700 support level must hold to avoid further losses.
The emergence of a buy signal on the four-hour chart could help BTC rebound.
Share this article
Bitcoin had a strong start to the week, but it has shed most of the gains incurred due to a spike in selling pressure. Now, the leading cryptocurrency must hold above a crucial support level to march toward new all-time highs.
Bitcoin at Make-or-Break Point
Bitcoin needs to hold support to maintain bullish momentum.
The top crypto asset opened the weekly trading session on a positive note. It gained over 3,200 points in market value to reach a high of $57,880. A recent spike in profit-taking saw BTC retrace by nearly 6.6%, generating over $79 million in liquidations worth of long positions.
Although bulls have been shaken out during the recent correction, Bitcoin ( $41,903.00 ) appears to have reached a crucial support level.
The four-hour chart shows that the 50 four-hour moving average is currently holding BTC at $54,700. Meanwhile, the Tom DeMark (TD) Sequential indicator has presented a buy signal in the form of a red nine candlestick within the same time frame. Such market behavior suggests that BTC could be bound for a one to four candlesticks upswing or the resumption of the uptrend.
As long as the 50 four-hour moving average at $54,700 holds, Bitcoin ( $41,903.00 ) could rise to retest the recent high of $57,880. However, a decisive close above this resistance level could see prices advance further toward the mid-April all-time high of $64,900.
Bitcoin has recovered from the recent dip in the last few hours; it’s currently trading back above $56,000.
It is worth noting that Bitcoin ( $41,903.00 ) bulls will be looking to avoid a four-hour candlestick close below the 50 four-hour moving average. Breaching this critical support area could lead to a sell-off that pushes BTC toward the 100 or the 200 four-hour moving average. These demand barriers sit at around $51,000 and $47,000.
Disclosure: At the time of writing, the author of this feature owned BTC.
This news was brought to you by Phemex, our preferred Derivatives Partner.
Share this article
The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.
You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.
See full terms and conditions.
Pantera CEO: Bitcoin’s Wild Volatility “A Thing of Our Pri…
Dan Morehead, the founder and CEO of Pantera Capital, has claimed that the four-year crypto price cycles that investors have grown accustomed to “are done.” In addition, he says the…
Vitalik Buterin Slams El Salvador’s Bitcoin ( $41,903.00 ) Adoption Policy
Buterin joins a long list of critics of Bukele’s controversial policy. Buterin Voices Concerns on Reddit Ethereum ( $0.00 ) ( $0.00 ) ( $0.00 ) co-founder Vitalik Buterin has issued sharp criticisms of El Saldvador’s “mandatory” Bitcoin ( $41,903.00 ) adoption…
What is Impermanent Loss and How can you avoid it?
DeFi has given traders and investors new opportunities to earn on their crypto holdings. One of these ways is by providing liquidity to the Automated Market Makers (AMMs). Instead of holding assets,…
Crypto Miners Are Stockpiling Bitcoin ( $41,903.00 ) and Ethereum ( $0.00 ) ( $0.00 ) ( $0.00 ) Rewards
On-chain metrics and company production reports show that Bitcoin ( $41,903.00 ) and Ethereum ( $0.00 ) ( $0.00 ) ( $0.00 ) miners are holding off from selling their mining rewards. The value of crypto held by miners has reached new…