Bitcoin Struggles To Break the Overhead Resistance at $52,000 as Buyers Continue Their Unending Price Tussle

Mar 08, 2021 at 12:37 // News
Coin Idol
Bitcoin will encounter a bearish reaction

Bitcoin price movement has been hampered at the $52,000 resistance. Today, Bitcoin bulls retested the resistance level and were repelled.

The BTC/USD is now in a downward movement to resume its range-bound move between $44,000 and $52,000. Since the February 23 breakdown, buyers have retested the Overhead resistance thrice and were unable to sustain the uptrend above the $52,000 high. 

Nonetheless, if the bulls are successful above the resistance level, the BTC/USD will have an accelerated price movement on the upside. There is a tendency for price to break the resistance at $58,000 and resume upside momentum. Conversely, if the bulls consistently fail to break the recent high, Bitcoin will encounter a bearish reaction. The bears may break the support at $44,000. This will cause Bitcoin to decline to $40,000 or $41,000 price level. Presently, the BTC price is at $50,295 at the time of writing.

Bitcoin indicator reading

BTC price is attempting to break above the 21-day SMA. When the price is above the 21-day and 50-day SMAs, the market will be propelled to rise. In the meantime, Bitcoin is yet to rise to be in the bullish trend zone. BTC price has risen to level 56 of the Relative Strength Index period 14. The price has enough room to rally on the upside. 

BTC - Coinidol.png

Technical indicators:  

Major Resistance Levels – $60,000 and $62,000

Major Support Levels – $45,000 and $40,000 

What is the next direction for BTC/USD?

According to the Fibonacci tool analysis, the BTC/USD is likely to move up if the psychological price level is breached. On March 2 uptrend; a retraced candle body tested the 61.8% Fibonacci retracement level. The retracement gives the impression that BTC will rise to level 1.618 Fibonacci extension. That is a high of $54,310.10.

BTC - Coinidol 2 chart.png

Disclaimer. This analysis and forecast are the personal opinions of the author and not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing funds.

Show comments(0 comments)